DNI COMPLETES STRATEGIC FINANCING TO ADVANCE WORK ON ITS ALBERTA POLYMETALLIC BLACK SHALE PROJECTS THROUGH A RESOURCE STUDY AND
March 11 2011 - 4:18PM
PR Newswire (Canada)
TORONTO, March 11 /CNW/ -- TORONTO, March 11 /CNW/ - DNI Metals
Inc. (DNI: TSX-Ven) (DG7: FSE) is pleased to announce that it has
completed a non-brokered private placement of flow-through and
non-flow-through shares, with arm's length and non-arm's length
parties, for aggregate gross proceeds of $2,416,200. The securities
issued under the private placements are subject to a four-month
hold period expiring on July 12, 2011. The financing was
oversubscribed. The financing consisted of: (i) placement of
14,999,999 units at a price of 12 cents per unit, for gross
proceeds of $1,800,000, each unit consisting of one common share
and one half of a common share purchase warrant, each full warrant
entitling the holder to purchase an additional common share of the
company at a price of 20 cents for a period of twenty-four months
from closing. Insiders participated in the units placement to an
aggregate of $119,004, including $19,004 from an officer and a
director; and (ii) placement of 5,135,001 flow-through shares at a
price of 12 cents per share for gross proceeds of $616,200.
Insiders participated in the flow-through placements to an
aggregate of $301,000, including $201,000 from an officer and two
directors. A finder fee of $12,800 was paid in connection with a
portion of the placement. Proceeds of the financing will be applied
toward DNI's polymetallic shale projects, Athabasca region,
Alberta, toward analytical work related to the drilling program
recently completed, toward expanded metals leaching R&D
testwork and the launch of a resource study to upgrade a portion of
the Buckton Potential Mineral Deposit (announced November 10, 2008)
to a NI-43-101 compliant resource. A portion of the funds will also
be applied toward operating working capital requirements. DNI
continues to focus its efforts on its polymetallic black shale
Properties in Alberta, and on its carried interest in the diamond
discovery on its Attawapiskat Property, Ontario. 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. DNI -
TSX Venture DG7 - Frankfurt Issued: 57,935,217 (post financing) To
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p align="left"DNI Metals Inc. - Shahe Sabag, President & CEO or
Denis Clement, Chairman - 416-595-1195br/ email a
href="mailto:ir@dnimetals.com"ir@dnimetals.com/a. Also visit a
href="http://www.dnimetals.com" cr="true"www.dnimetals.com/a/p
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