ah yes....saw the rabbit and others step up for $20 million bought deal at about $3.00 on the aru.v....but I knew someone who had been on the property so I stayed on the sidelines (breccia bodies-size and extent unknown and total ounces confined by nature of epithermal systems)....saw the DRA news today and added to my position....
Red Dragon Resources Corp. -
$18,600,000 million private placement completed
VANCOUVER, June 16 /CNW/ - Red Dragon Resources Corp. (the "Company")
(TSXV: DRA) is pleased to announce that it has closed a portion of its
previously announced brokered private placement led by Regent Mercantile
Bancorp Inc. (the "Agent") (refer to news release dated May 29, 2006). A total
of 24,800,000 units ("Units") were issued at a price of $0.75 per Unit for
total gross proceeds of $18,600,000 (the "Offering"). Each Unit consists of
one common share of the Company and one-half of one share purchase warrant,
with each whole warrant ("Warrant") being exercisable for the purchase of an
additional common share of the Company at a price of $1.25 per share until
December 15, 2007, subject to acceleration of the expiry date in certain
circumstances.
In consideration for its services, the Agent received a cash commission
of $830,477 together with an advisory services fee of $378,523 and
compensation and advisory warrants entitling the Agent to purchase an
aggregate of up to 1,736,000 Units at a price of $0.75 per Unit until
December 15, 2007.
The net proceeds from the Offering will be used to further develop the
Company's key projects, and for general working capital purposes. In
particular the Company will be focusing a significant portion of the funding
on the Weixi zinc project located in Yunnan Province, southwestern China.
Recent trench results returned values of 10.7% zinc and 1.16% lead over
24 metres within a zone which can be followed intermittently along surface for
over two kilometres. (refer press release May 2, 2006, No 07/06). An
aggressive drilling program is planned to advance this project. In addition
drilling will be undertaken on the Liaoning gold project in northeastern
China.
All securities issued or issuable in connection with the Offering are
subject to a four month hold period expiring on October 16, 2006.
The Company is a mineral exploration company actively involved in base
and precious metal and uranium exploration in Canada and China.
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