Sprott Asset Management Invests In Oremex
TORONTO, ONTARIO -- (Marketwire) -- 09/20/10 -- Oremex Resources Inc. (TSX VENTURE: ORM) is pleased to announce a proposed private placement of units, at a price of $0.09 per unit, for gross proceeds of approximately $1,700,000. Each unit will be comprised of one share of the Company and one-half of one share purchase warrant. Each whole warrant will be exercisable to purchase one share of the Company, at a price of $0.14 per share, for a period of two years from the date of issuance.
Oremex is also pleased to advise that Sprott Asset Management, on behalf of certain funds and managed accounts, has indicated its intention to participate in the private placement.
'Sprott Asset Management is among the most recognized and highly-regarded investment management firms in the world, particularly for its knowledge and expertise in the mining sector' noted Oremex Chairman John Carlesso. 'We are pleased to have their support as we enter a particularly active phase of growth and development for the company'.
The proceeds of the private placement will be used to fund Mexican operations, exploration and development on Oremex's project portfolio, to pursue corporate acquisitions and for working capital and general corporate purposes.
Completion of the private placement is subject to receipt of all regulatory approvals, including the approval of the TSX Venture Exchange. All of the securities issuable in connection with the private placement will be subject to a hold period expiring four months and one day after the date of issuance.
Oremex expects to complete the private placement before the end of September 2010.
About Oremex:
Oremex is a Canadian-based exploration company with a focus on the acquisition and development of mineral properties in Mexico. The Company's Tejamen project has an inferred mineral resource of 50.8 million ounces of silver in a total of 22.6 million tonnes grading a silver-equivalent of 69.8 grams per tonne (Wardrop Engineering Report NI 43-101 compliant April 2006). Snowden Mining Industry Consultants completed a Preliminary Assessment Study (NI 43-101 compliant October 2006) demonstrating that the project can support a 10,000 tonne per day open pit, heap leach mining operation.
National Instrument 43-101 requires the following statement: that the preliminary assessment is preliminary in nature, that it includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the preliminary assessment will be realized.
Forward-Looking Statements: The above contains forward-looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward-looking statements. Factors that could cause such differences include: changes in world commodity markets, equity markets, costs and supply of materials relevant to the mining industry, change in government and changes to regulations affecting the mining industry. Forward-looking statements in this release include statements regarding future exploration programs, operation plans, geological interpretations, mineral tenure issues and mineral recovery processes. Although we believe the expectations reflected in our forward-looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.
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.
Contacts:
Oremex Resources Inc.
John Carlesso
Executive Chairman
416-309-4320
info@oremex.com