Owner
Post by Franko10 ™ on Sept 11, 2004 12:09:03 GMT -5
Brokered Private Placement Closed
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Mr. Dale W. Hoffman, President of JNR Resources Inc. (the "Company") is pleased to report that the brokered private placement of flow-through and non-flow-through special warrants announced in the Company's news release dated September 26, 1997, has closed effective Monday, December 22, 1997.
A total of 6,666,667 special warrants, of which 95% are flow-through (the "Flow-Through Special Warrants") and 5% are non-flow-through (the "Non-Flow-Through Special Warrants") were sold at a price of $0.30 per Special Warrant, for gross proceeds of $2,000,000. Of these, 5,765,329 were sold through Wolverton Securities Ltd. (the "Agent") pursuant to an Agency Agreement dated September 26, 1997. Each Flow-Through Special Warrant is exchangeable at no additional cost into one flow-through common share in the capital of the Company (a "Flow-Through Share") and one non-transferable share purchase warrant (a "Share Warrant"). Each Non-Flow-Through Special Warrant is exchangeable at no additional cost into one common share in the capital of the Company (a "Share") and one Share Warrant.
Each Share Warrant will entitle the holder to purchase an additional common share in the capital of the Company (a "Warrant Share") at a price of $0.30 per share during the first year and at a price of $0.35 per share during the second year following the closing date of the private placement. Under the terms of the Agency Agreement, the Agent was paid a finder's fee equal to 10% of the value of the Special Warrants sold by it, of which one-half was payable in cash from the proceeds, and one-half was payable in Special Warrants (the "Agent's Special Warrants"). Each Agent's Special Warrant is exchangeable at no additional cost into one common share in the capital of the Company (an "Agent's Share") and one non- transferable share purchase warrant (an "Agent's Warrant") Each Agent's Warrant will entitle the holder to purchase an additional common share in the capital of the Company (an "Agent's Warrant Share") at a price of $0.30 per share during the first year and at a price of $0.35 per share during the second year following the closing date of the private placement.
Each Flow-Through Special Warrant, Non-Flow-Through Special Warrant and Agent's Special Warrant, if not earlier exercised, will be deemed to be exercised on the earlier of 330 days following the closing date and the 5th day following the date of issuance of a receipt by the British Columbia Securities Commission for an Exchange Offering Prospectus ("EOP") qualifying the exchange of all of the special warrants. The Company has agreed to use its best efforts to file and obtain a receipt for such an EOP within 180 days following the closing date. Any Shares, Flow-Through Shares, Agent's Shares, Warrant Shares or Agent's Warrant Shares not so qualified will be subject to a hold period of 12 months from the closing date.
The private placement net proceeds of $1,913,520 (before expenses of the issue, estimated to be $38,400) will be utilized for exploration of the Company's uranium prospect properties located in the Athabasca Basin area of the Province of Saskatchewan. ONTARIO PROPERTY INTERESTS DROPPED The Company and Consolidated Pine Channel Gold Corp. have agreed that, due to generally unsatisfactory results to date, no further exploration will be performed on their 50/50 joint venture Northeast Ontario Diamond Project, and that they will abandon all of their optioned property interests in Ontario, retaining only those unpatented mining claims in which they hold title from acquisition by staking.
JNR RESOURCES INC.
Dale W. Hoffman, President
The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the accuracy or adequacy of the content of this News Release.
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Mr. Dale W. Hoffman, President of JNR Resources Inc. (the "Company") is pleased to report that the brokered private placement of flow-through and non-flow-through special warrants announced in the Company's news release dated September 26, 1997, has closed effective Monday, December 22, 1997.
A total of 6,666,667 special warrants, of which 95% are flow-through (the "Flow-Through Special Warrants") and 5% are non-flow-through (the "Non-Flow-Through Special Warrants") were sold at a price of $0.30 per Special Warrant, for gross proceeds of $2,000,000. Of these, 5,765,329 were sold through Wolverton Securities Ltd. (the "Agent") pursuant to an Agency Agreement dated September 26, 1997. Each Flow-Through Special Warrant is exchangeable at no additional cost into one flow-through common share in the capital of the Company (a "Flow-Through Share") and one non-transferable share purchase warrant (a "Share Warrant"). Each Non-Flow-Through Special Warrant is exchangeable at no additional cost into one common share in the capital of the Company (a "Share") and one Share Warrant.
Each Share Warrant will entitle the holder to purchase an additional common share in the capital of the Company (a "Warrant Share") at a price of $0.30 per share during the first year and at a price of $0.35 per share during the second year following the closing date of the private placement. Under the terms of the Agency Agreement, the Agent was paid a finder's fee equal to 10% of the value of the Special Warrants sold by it, of which one-half was payable in cash from the proceeds, and one-half was payable in Special Warrants (the "Agent's Special Warrants"). Each Agent's Special Warrant is exchangeable at no additional cost into one common share in the capital of the Company (an "Agent's Share") and one non- transferable share purchase warrant (an "Agent's Warrant") Each Agent's Warrant will entitle the holder to purchase an additional common share in the capital of the Company (an "Agent's Warrant Share") at a price of $0.30 per share during the first year and at a price of $0.35 per share during the second year following the closing date of the private placement.
Each Flow-Through Special Warrant, Non-Flow-Through Special Warrant and Agent's Special Warrant, if not earlier exercised, will be deemed to be exercised on the earlier of 330 days following the closing date and the 5th day following the date of issuance of a receipt by the British Columbia Securities Commission for an Exchange Offering Prospectus ("EOP") qualifying the exchange of all of the special warrants. The Company has agreed to use its best efforts to file and obtain a receipt for such an EOP within 180 days following the closing date. Any Shares, Flow-Through Shares, Agent's Shares, Warrant Shares or Agent's Warrant Shares not so qualified will be subject to a hold period of 12 months from the closing date.
The private placement net proceeds of $1,913,520 (before expenses of the issue, estimated to be $38,400) will be utilized for exploration of the Company's uranium prospect properties located in the Athabasca Basin area of the Province of Saskatchewan. ONTARIO PROPERTY INTERESTS DROPPED The Company and Consolidated Pine Channel Gold Corp. have agreed that, due to generally unsatisfactory results to date, no further exploration will be performed on their 50/50 joint venture Northeast Ontario Diamond Project, and that they will abandon all of their optioned property interests in Ontario, retaining only those unpatented mining claims in which they hold title from acquisition by staking.
JNR RESOURCES INC.
Dale W. Hoffman, President
The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the accuracy or adequacy of the content of this News Release.
