Ivanhoe’s Kipushi zinc mine in the DRC officially reopens
The restart marked exactly a century since the mine first went into production.
Talmora Diamond Inc. (CNSX:TAI) is pleased to announce that it proposes to complete a part brokered and part non-brokered private placement of up to 25,000,000 Units, comprised of at least 20,000,000 Hard Dollar Units and up to 5,000,000 Flow-Through Units at $0.05 per Unit, for gross proceeds of up to $1,250,000. The private placement is expected to close not later than May 16, 2011.
Each Unit consists of one common share and one-half of one common share purchase warrant. Each whole common share purchase warrant (“Warrant”) entitles the holder to acquire one common share for $0.10 until May 16, 2013. If during the term of the Warrants the common shares of Talmora trade at or above Can. $0.20 for a period of 20 consecutive trading days, the Company may notify the warrant holder to exercise the Warrants at a date no later than 30 calendar days after this notification date or forfeit any unexercised Warrants at that time. All securities issued pursuant to the financing are subject to a four month hold period which expires on September 16, 2011.
Most of the placement is proposed to be brokered on which the Company will pay a cash commission to be negotiated.
The Company currently has 36,982,679 common shares outstanding. Assuming full take-up of the private placement there will be an additional 25,000,000 common shares for a total of 61,982,679 outstanding. On a fully-diluted basis after giving effect to the exercise of all outstanding share purchase warrants and incentive stock options granted under its stock option plan the Company would have 85,136,551 common shares outstanding.
The proceeds of the financing will be applied to fund exploration, including drilling, on the Company’s property in the Northwest Territories and for working capital.
Talmora holds 11 contiguous prospecting permits (433,831 acres) and 175 mineral claims (54,787 acres) straddling the 68th parallel on the east side of the Lena West diamond area of the Northwest Territories. Ten of the permits are in the Sahtu Settlement Region and one permit and all the claims are in the Inuvialuit Settlement Region.
Over $75 million has been spent in the Lena West area by other companies with the recovery of numerous kimberlite indicator minerals (KIMs) and an unprecedented 18 diamonds in field samples. No kimberlites have been found except for the Darnley Bay and the Dharma kimberlites on a well defined favourable structure that includes the Talmora property.
Sampling on the Talmora property shows a strong correlation between KIMs in till samples and magnetic anomalies with characteristics of kimberlite pipes. The majority of Lena West KIMs (those west of Talmora) are very similar to those from the Talmora property but differ from those of the Darnley Bay and Dharma properties. There is every reason to believe that the Talmora property may be the source of the abundant KIMs and diamonds of the Lena West area.
Talmora has targets ready for drilling. A drill program will cost a minimum of $1,000,000 and will be carried out as soon as the funds have been raised and the necessary permits have been obtained.
The technical information contained in this release was compiled by Alan W. Davies, P.Eng., P.G., who is the Vice-President of Exploration for Talmora. Alan W. Davies is a qualified person as defined by National Instrument 43-101.
