Central Closes 300,000 Financing
VANCOUVER, BRITISH COLUMBIA, Dec 28, 2012 (Menafn - Marketwire via COMTEX) --Central Resources Corp. ("Central" or the "Company") is pleased to announce that it has closed the non-brokered private placement previously announced on December 7, 2012.
A total of 12,000,000 units were issued at a price of 0.025 per unit for gross proceeds of 300,000. Each unit consists of one common share of the company and one warrant. Each warrant entitles the holder to purchase one additional common share of the Company at a price of 0.05 during the first year following the closing date and 0.10 during the second year following the closing date. The Company may accelerate the expiry of the warrants (following the expiry of the 4 month hold period) if the twenty-day volume-weighted average trading price of the shares on the TSX Venture Exchange ("TSX-V") (or such other exchange on which the shares may be listed) exceeds 0.10 in in the first year following the closing date or 0.20 in the second year following the closing date, in which event the warrants will expire 30 calendar days after the date that the Company provides notice to the holders.
All securities issued under the private placement are subject to a statutory hold period expiring on April 28, 2013.
The private placement was completed pursuant to the temporary relief measures provided under TSX-V's Bulletin dated August 17, 2012, Private Placements - Temporary Relief from Certain Pricing Requirements and is subject to final TSX-V approval. The directors of the Company have approved the financing.
The Company intends to use the proceeds raised from the private placement to fund expenditures made in connection with completion of the exploration program of Company's Tam property and general working capital needs of the Company, as follows:
Use of ProceedsAmount
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Exploration Program Expenditures for Tam Property260,000
TSX Venture Exchange Filing Fees5,000
Audit Fees and General Working Capital35,000
Total300,000
About Central Resources
Central Resources Corp. is a junior exploration company created to leverage the extensive knowledge and experience of a dedicated group of financial and resource industry professionals. The Company has acquired options on several highly prospective mineral properties in the Yukon and British Columbia and continues to pursue additional opportunities to build shareholder value.
This news release contains forward-looking information, including the expected use of proceeds, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. Important factors - including the availability of funds, the results of financing efforts, the results of exploration activities -- that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
FOR FURTHER INFORMATION PLEASE CONTACT: Central Resources Corp. Paul Reynolds President and CEO 604-630-3730 info@centralres.ca www.centralres.ca
SOURCE: Central Resources Corp.
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