AFRICAN QUEEN ANNOUNCES PRIVATE PLACEMENT
Vancouver, British Columbia — AFRICAN QUEEN MINES LTD. (the “Company”) is pleased to announce the closing of the first tranche of its previously announced non-brokered private placement which has raised gross proceeds of CAD $836,000. Under the terms of the private placement, the Company has issued 2,787,400 Units (the “Units”) at CAD $0.30 per Unit to institutional and private investors.
Each Unit consists of one common share of the Company and one-half of one share purchase warrant (the “Warrants”). Each whole Warrant entitles the holder to purchase one additional common share of the Company at an exercise price of CAD $0.45 until April 20, 2011.
The Company paid cash finders’ fees of CAD $36,414, representing 4.35% of the aggregate proceeds of the offering.
The Units are subject to a 4-month hold period in Canada expiring August 21, 2009.
Proceeds from the private placement will be utilized for acceleration of work programs on the Company’s gold projects in Mozambique as well as potential property acquisitions and working capital.
It is anticipated that a further tranche of the private placement will close within approximately two weeks.
The Company is an exploratory resource company with
diversified mineral properties in Southern Africa. It is exploring its properties in
Botswana and Namibia for diamonds, and it is exploring its properties in Mozambique
for gold and other metals. The Company licences in Botswana and Namibia comprise
approximately 11,800 sq km of diamond prospects. In Mozambique it has approximately
1350 sq km of gold and other metals licences under agreements with two other companies.
Its operations in Botswana are carried out through its operating subsidiary, PAM Botswana
(Pty) Ltd.; its operations in Namibia are carried out through its operating subsidiary PAM
Minerals Namibia (Pty) Ltd.; and its operations in Mozambique are carried out through its
subsidiary PAM Mocambique Limitada.
The Company has its executive offices in Vancouver, Canada.
ON BEHALF OF THE BOARD OF DIRECTORS OF
AFRICAN QUEEN MINES, LTD.
Chairman & CEO
For more information, contact:
President and CEO
Phone: (604) 899-0100
Fax: (604) 899-0200
Düsseldorf +49 (0) 1722 1234 47
London - +44 (0) 7780 602 788
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of the information contained herein. The statements made in this press release may contain certain forward-looking statements that involve a number of risks and uncertainties. Actual events or results may differ from the Company's expectations.