Crazy Horse Resources Inc. Closes C$5M Investment by Copper Development Corp.
July 06 2011 - 10:15AM
Marketwired
Crazy Horse Resources Inc. (TSX VENTURE: CZH) (the "Company") is
pleased to announce the completion of the strategic investment by
Copper Development Corporation ("CDC") on a private placement basis
of 6,666,667 common shares of the Company (the "Shares") at a price
of $0.75 per Share for proceeds to the Company of C$5,000,000.
As a result of the private placement, CDC will hold
approximately 11.8% of the Company's outstanding common shares. The
Company has agreed to grant CDC the right to maintain such
percentage shareholding through participation in future financings
undertaken by the Company, for a period of five years subject to
CDC continuing to meet certain minimum shareholding and investment
requirements.
No finder's fee or commissions were paid in respect of the
private placement.
The Shares will be subject to a four-month hold period in
accordance with applicable Canadian securities laws that expires on
November 5, 2011.
The proceeds of the private placement will be used to further
develop the Company's Taysan Copper-Gold Porphyry Project in the
Philippines.
Taysan Project
A National Instrument 43-101 compliant technical report by
Mining Associates dated effective March 11, 2011 and entitled
"Mineral Resource Estimate and Preliminary Economic Assessment
Taysan Project" can be viewed under the Company's profile on SEDAR
(www.sedar.com).
The Taysan Project contains a copper-gold porphyry deposit with
an inferred resource, and is comprised of two mining exploration
permits and three mining exploration permit applications (permits:
EP-IVA-005 and EP-IVA-016, and permit applications: EPA-IVI-108,
EPA-IVI-111 and EPA-IVA-081) over five contiguous claim blocks
covering a combined total area of 11,254 hectares. The Taysan
Project hosts a large and only partly explored copper-gold porphyry
deposit similar to other copper-gold porphyry deposits previously
mined in the Philippines. The Taysan Project is located in southern
Luzon, Philippines in a well-developed mining province and readily
accessible by road located 20km east of the provincial capital and
deep water commercial port of Batangas City. The Company is
currently conducting a feasibility study under the management of
AMECMinproc Limited, which remains on track and on schedule.
ON BEHALF OF THE BOARD
Johan Raadsma, President, CEO and Secretary
This press release includes "forward-looking statements"
including statements relating to completion of the proposed
Offering and use of the offering proceeds, that are subject to a
number of assumptions, risks and uncertainties, many of which are
beyond the control of the Company. Investors are cautioned that any
such statements are not guarantees of future performance and that
actual results or developments may differ materially from those
projected in the forward-looking statements. Such forward-looking
information represents management's best judgment based on
information currently available. No forward-looking statement can
be guaranteed and actual future results may vary materially. There
is no assurance that the Company will be successful in raising any
or all of the private placement, or that the terms thereof will not
materially change prior to closing. The Company does not assume the
obligation to update any forward-looking statement, except as
required by applicable law.
Neither the TSX Venture Exchange nor its regulation services
provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Contacts: KIN Communications Inc. Investor Relations
1-866-684-6730 Ir@kincommunications.com