|January 13, 2010
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES
CHANNEL RESOURCES ANNOUNCES OVERSUBSCRIPTION OF PRIVATE PLACEMENT
Vancouver, BC - Channel Resources Ltd. ("Channel" or the "Company", TSX.V:CHU) announces that its private placement described in a news release on December 2, 2009 for up to 3,750,000 units (a "Unit") at a price of CDN$0.08 per Unit has been oversubscribed. The private placement now consists of a total 4,225,000 Units for gross proceeds to the Company of $338,000, including subscriptions accepted by the Company in a partial closing of the financing announced December 21, 2009.
Each Unit will be comprised of one common share of the Company ("Common Shares") and one share purchase warrant (a "Warrant"), with each Warrant being exercisable for one Common Share ("Warrant Share") at an exercise price of CDN$0.11 for a period of 24 months.
The proceeds of the private placement will be used to fund exploration and pre-development work on its properties, primarily the Fox Creek Lithium / Potash Brine Project located in Alberta, as well as for corporate development and working capital purposes.
Completion of the private placement is subject to execution and delivery of standard documentation and receipt of all required regulatory approvals and consents, including the approval of the TSX Venture Exchange.
For further information, contact:
Colin McAleenan, President and CEO
Cyrus Ameli, CFO & VP Corporate Affairs
Some of the statements contained herein are forward-looking statements which involve known and unknown risks and uncertainties. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve various degrees of risk. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the price of minerals, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements or the foregoing list of factors, whether as a result of new information or future events or otherwise. Further disclosure on risk factors is available in the Company's various corporate filings at www.sedar.com.
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.
- Associated File: http://www.channelresources.ca/i/pdf/CHU2010NR011310.pdf
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Message sent on Wed Jan 13, 2010 at 10:30:23 AM Pacific Time