GOOD NEWS...MINING AGAIN!!!
Just got this one in the old inbox.
GEOMAQUE
TSE Symbol: GEO For Immediate Release
February 20, 2002
GEOMAQUE ANNOUNCES CLOSING OF PREVIOUSLY ANNOUNCED
PRIVATE PLACEMENT AND DEBT RESTRUCTURING AND
RECOMMENCEMENT OF MINING AT VUELTAS DEL RIO MINE
Geomaque is pleased to announce that, at an extraordinary general meeting of shareholders held today, the previously announced private placement of 39,700,000 common shares, at Cdn. $0.05 per share, to raise gross proceeds of Cdn. $1,985,000 was approved and the transaction has closed. In connection with the closing of the private placement, the documentation in respect of the restructuring of the Company’s credit and security arrangements with its principal lender, Resource capital Fund II L.P. of Denver ("RCF"), has been completed.
As a result of the completion of the private placement and the issuance of 720,000 shares to RCF as a fee in connection with the restructuring, including the first tranche, which was not subject to shareholder approval, a total of 40,420,000 common shares have been issued. After also taking into account recent exercises of options by former insiders, the current issued and outstanding share capital of the Company is 116,630,630 shares.
At the Company’s Vueltas del Rio Mine in Honduras, construction of the new leach pad ("Pad 2") was completed earlier in February and loading of the pad is underway from existing stockpiled ore. Mining recommenced on February 18, 2002. Currently, between 1,500 and 2,000 tonnes/day of ore are being placed on Pad 2. It is expected that tonnages may be increased in the future as equipment and personnel are optimized. Cyanidation of Pad 2 will commence at the end of February resulting in gold production starting in late March.
For further information please contact:
John Hick
President & CEO |
