Kesselrun Resources Closes $2.22 Million Financing With Strategic
Metals Ltd.
THUNDER BAY, ON, Nov. 21, 2012 /CNW/ - Kesselrun Resources Ltd.
(TSXV:KES) ("Kesselrun") is pleased to announce that it has closed
the private placement financing (the "Offering") with Strategic
Metals Ltd. (TSXV:SMD) ("Strategic") previously announced
Nov. 14, 2012.
Strategic has acquired 3,700,000 flow-through common shares (the
"FT Common Shares") of Kesselrun at a price of $0.60 per FT Common Share for gross proceeds of
$2,220,000.00. Strategic now owns
approximately 16 percent of Kesselrun's issued and outstanding
common shares.
The proceeds from the sale of the FT Common Shares will be used
for exploration and development of Kesselrun's flagship Bluffpoint
project in Northwestern
Ontario.
Macquarie Capital Markets Canada Ltd. ("Macquarie") will receive
a cash finder's fee equal to seven percent of the gross
subscription proceeds, and 259,000 broker warrants (the "Broker
Warrants") entitling Macquarie to purchase, in aggregate, 259,000
common shares. Each Broker Warrant is exercisable to acquire
one common share of Kesselrun at a price of $0.60 per common share for a period of two
years.
All securities issued under the Offering are subject to a hold
period under securities law of four months and a day from the date
hereof, which will expire on March 20,
2013.
About Strategic Metals Ltd.
Strategic has interests in over 160 properties, including 41
that are under option to other companies and 21 in which Strategic
holds net smelter return royalty interests. Strategic is well
funded with working capital of more than $80
million including cash and marketable securities.
Strategic's major shareholdings include 9.1% of ATAC Resources
Ltd., 18.7% of Silver Range Resources Ltd., 32.3% of Rockhaven
Resources Ltd., 19.9% of Precipitate Gold Corp., and 19.9% of
Wolverine Minerals Corp. For more information about Strategic
Metals, please visit www.strategicmetalsltd.com.
About Kesselrun Resources Ltd.
Kesselrun Resources is a newly formed Thunder Bay, Ontario-based mineral exploration
company focused on growth through property acquisitions and
discoveries. Kesselrun's management team possesses strong
geological and exploration expertise with particular experience in
Northwest Ontario. For more
information about Kesselrun Resources, please visit
www.kesselrunresources.com.
Forward Looking Statements
This release includes certain statements that may be deemed to
be "forward-looking statements". All statements in this release,
other than statements of historical facts, that address events or
developments that the Company expects to occur, including without
limitation, the private placement, are forward looking statements.
Forward looking statements are statements that are not historical
facts and are generally, but not always, identified by the words
"expects", "plans", "could" or "should" occur. Although the Company
believes the expectations expressed in such forward looking
statements are based on reasonable assumptions, such statements are
not guarantees of future performance and actual results may differ
materially from those in forward looking statements. Factors that
may cause the actual results to differ materially from those in
forward-looking statements include gold prices, results of
exploration and development activities, regulatory changes, defects
in title, availability of materials and equipment, timeliness of
government approvals, continued availability of capital and
financing and general economic, market or business conditions. The
Company cautions the foregoing list of important factors is not
exhaustive. Investors and others who base themselves on the
Company's forward-looking statements should carefully consider the
above factors as well as the uncertainties they represent and the
risk they entail. The Company believes that the expectations
reflected in those forward-looking statements are reasonable, but
no assurance can be given that these expectations will prove to be
correct. Please see the public filings of the Company at
www.sedar.com.
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 news release.
SOURCE Kesselrun Resources Ltd.