Platinex Inc. Announces Flow-Through Offering and Working Capital Offering
TORONTO, ONTARIO -- (Marketwire) -- 12/02/10 -- Platinex Inc. (TSX VENTURE: PTX) is seeking to raise up to $2,000,000 through the sale of flow-through units and non-flow-through shares on a non- brokered, private placement basis.
Platinex is offering up to 5,263,158 units on a flow-through basis priced at $0.19 per unit with each flow-through unit consisting of one flow-through common share and one-half of a warrant for gross proceeds of up to $1,000,000. Each full warrant entitles the holder to purchase a non-flow- through common share for $0.27 until the expiry of 24 months following the closing. If the average closing price of the common shares on the TSX Venture Exchange is at least $0.40 for 20 consecutive trading days, and the 20th trading day is at least four months from the closing date, Platinex may elect to change the expiry of the warrants to a date (the 'trigger date') which is at least 30 days following notice of that change given to warrant holders. Proceeds from the sale of the flow-through units will be used to continue with an 11,500 metre drill program that is underway on its Shining Tree gold property, a 2,251 hectare property located near Shining Tree, Ontario.
In addition, Platinex is offering up to 7,629,307 working capital shares priced at $0.13 per share for gross proceeds of up to $1,000,000.
The private placement is expected to close no later than December 13, 2010. The private placement is subject to approval of the TSX Venture Exchange.
Platinex will pay an 8% cash commission and 8% broker warrants to registered dealers who introduce subscribers under the offering.
About Platinex Inc.
Platinex is a Canadian mining exploration company. PTX's management team has been leaders in the exploration and development of Platinum Group Elements (PGEs) in North America for 25 years. Platinex also actively pursues the opportunistic acquisition of other precious metal targets. The Company's priority in exploration is reef-type targets which may host large scale ore bodies. Platinex's proprietary expertise in exploration for this type of ore body has led to the acquisition of 7 PGE property holdings over large layered intrusions. Platinex is also exploring the Shining Tree gold property and recently expanded the known size of the Herrick gold deposit with a 36 hole drill program returning good gold values.
To receive Company press releases, please email lparadis@platinex.com and mention 'Platinex press release' on the subject line.
FORWARD-LOOKING STATEMENTS:
Except for statements of historical fact, all statements in this news release - including, without limitation, statements regarding future plans and objectives, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements.
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 release.
Contacts:
Platinex Inc.
James R. Trusler
President & CEO
(905) 470-6400 ext.8007
jtrusler@platinex.com