- 5,400,000 common shares to be issued at a price of
$0.93 per share
- Closing expected by June 29,
2012
MONTREAL,
June 26, 2012 /CNW Telbec/ - Argex
Mining Inc. (TSXV: RGX) (FSE: ASV) (OTCBB: ARGEF) is pleased to
announce that it is effecting a private placement with a U.S.-based
investment fund manager and a current shareholder of Argex. The
private placement is for 5,400,000 common shares at a price of
$0.93 per share, for gross proceeds
to Argex of $5,022,000. No warrants
will be issued as part of this private placement.
The private placement is expected to close on or
about June 29, 2012. Argex
will use the proceeds from the private placement for working
capital and general corporate purposes.
Argex will not pay any commissions in connection
with the private placement.
The private placement has been conditionally
approved by the TSX Venture Exchange, subject to certain standard
verifications by the Exchange. The securities issued in the private
placement will be subject to a four-month "hold period" under
applicable securities legislation and the policies of the TSX
Venture Exchange.
Roy Bonnell,
President and Chief Executive Officer of Argex, commented, "We are
very happy that Argex is completing a private placement for more
than $5 million. In this
volatile market, this financing represents a vote of confidence in
our company and in our business plan, which is to advance towards
production of titanium dioxide. Upon closing of this private
placement, Argex will have approximately $10
million in liquidity."
There are currently 109,923,496 common shares of
Argex issued and outstanding.
About Argex Mining Inc.
ARGEX MINING INC. is a near-term producer of
commodities that the world needs: Titanium Dioxide, Iron and
Vanadium Pentoxide. With a primary goal of advancing rapidly
towards production, Argex has adopted a simple and low-risk
strategy for the scale-up of its proprietary process that allows it
to produce high-purity TiO2 directly from run-of-mine
material from its 100%-owned deposit.
The process is running continuously at the
mini-plant in Mississauga,
Ontario. The closed-loop process is environmentally friendly
and produces minimal inert tailings.
Additionally, the Corporation owns 100% of the
Mouchalagane property, which is a large Labrador trough iron ore property that
represents further potential upside for the Argex shareholders.
Forward-Looking Statements and Disclaimer
This press release may contain forward-looking
information within the meaning of applicable securities laws.
All information and statements other than statements of historical
facts contained in this press release are forward-looking
information. Such statements and information may be
identified by words such as "about", "approximately", "may",
"believes", "expects", "will", "intends", "should", "plans",
"predicts", "potential", "projects", "anticipates", "estimates",
"continues" or similar words or the negative thereof or other
comparable terminology. Forward-looking statements are based
on the best estimates available to Argex at this time and involve
known and unknown risks, uncertainties and other factors that may
cause Argex's actual results, performance or achievements to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements. A description of the risks affecting Argex's
business and activities appears under the heading "Risk Factors" in
Argex's Amended and Restated Annual Information Form dated
January 14, 2011 for the fiscal
year ended December 31, 2009,
which is available on SEDAR at www.sedar.com. No assurance
can be given that any events anticipated by the forward-looking
information in this press release will transpire or occur, or if
any of them do so, what benefits that Argex will derive therefrom.
In particular, no assurance can be given as to the future financial
performance of Argex. The forward-looking information
contained in this press release is made as of the date hereof and
Argex undertakes no obligation to publicly update such
forward-looking information to reflect new information, subsequent
or otherwise, unless required by applicable securities laws.
The reader is warned against placing undue reliance on these
forward-looking 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.
SOURCE ARGEX MINING INC.
