Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
CALGARY, ALBERTA–(Marketwire – Nov. 7, 2011) – Golconda Resources Ltd. (TSX VENTURE:GA) (the “Corporation” or “Golconda) announces that it intends to complete a non-brokered private placement of up to 10,000,000 units of the Corporation (“Units“) at a price of $0.05 per Unit for gross proceeds of up to $500,000.
Each Unit issued pursuant to the private placement will consist of one common share of the Corporation and one-half of one warrant, with each whole warrant entitling the holder thereof to purchase one common share at an exercise price of $0.10 per share for a period of five years.
The private placement may close in a series of tranches over the next 30 to 60 days. The securities issued pursuant to the private placement will be subject to a four-month hold period. Certain insiders, directors and officers may subscribe for a portion of this private placement.
Proceeds of the private placement will be used for general corporate purposes and to increase the Corporation’s working capital. If the private placement is fully subscribed, the Corporation will have 111,076,818 common shares issued and outstanding.
The completion of the private placement is subject to TSX Venture Exchange approval and other regulatory approval.
Golconda is in the business of exploration drilling in western and northern Canada, and mineral property exploration and development in British Columbia and Nevada.
