Vancouver, British Columbia -- July 22, 2009 - Laurentian Goldfields Ltd. (TSX-V: LGF) ("Laurentian") today announced an increase to the non-brokered private placement offering ("Offering") previously announced on June 22, 2009. The Offering will now consist of up to 6.66 million flow-through units ("FT Units") at a price of $0.18 per FT Unit and up to 9 million non-flow-through units ("NFT Units") at a price of $0.15 per NFT Unit, for total proceeds of up to CDN$2.55 million.
The first tranche of this private placement, comprising 5,555,552 FT Units, for total proceeds of CDN$1 million, was closed on June 29, 2009 (see Laurentian press release June 29, 2009).
Each NFT Unit consists of one common share and one non-flow-through share purchase warrant, with each warrant entitling the holder to purchase one additional common share of the Company for a period of 24 months from closing at a price of $0.25 per share in the first 12 months and $0.35 per share in the subsequent 12 months.
Each FT Unit consists of one flow-through common share and one-half of one non-flow-through share purchase warrant, with each whole warrant entitling the holder to purchase one additional non-flow-through common share of the Company for a period of 24 months from closing at a price of $0.25 per share in the first 12 months and $0.35 per share in the subsequent 12 months.
The warrants will be subject to an acceleration clause such that in the event the closing price of the common shares of Laurentian on the TSX Venture Exchange is greater than $0.35 during the first year following the date of issuance of the warrants or $0.45 during the second year following the date of issuance of the Warrants for 10 consecutive trading days at any time after the date that is four months after the date of issuance of the warrants, Laurentian will be entitled to accelerate the warrants upon 21 calendar days' prior notice and the warrants will then expire on the 21st calendar day after the date of the notice unless exercised by the holder prior to such date.
All units issued are subject to a four month hold period from the closing date of the Offering. The Offering is subject to certain conditions, including regulatory acceptance. Finder's fees may be payable on portions of the Offering. Proceeds for the Offering will be used to fund the Company's exploration programs and for general corporate purposes.
About Laurentian Goldfields Ltd.
Laurentian is a team of highly skilled exploration professionals focused on discovery and growth in under-explored regions of mining-friendly jurisdictions. Laurentian generates new projects by employing leading edge exploration concepts and techniques to quickly and cost-effectively screen vast tracts of land for geological and geochemical signatures known to be associated with world class gold deposits.
ON BEHALF OF THE BOARD OF DIRECTORS,
Andrew Brown, M.Sc., P.Geo.
President and CEO
Neither 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.
Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to proposed financings and statements with respect to mineral potential and planned exploration, development and production activities. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the Company's ability to complete proposed financings, prevailing conditions in the capital markets, realized mineralization of properties and the timing and success of future exploration, development and production activities.
For further information, please contact:
Andrew Brown, President and CEO
Tel: (604) 646-1596
Fax: (604) 642-2411