Panoro
Closes Bought Deal Private Placement to Raise $13.8 Million
Panoro Minerals
Ltd. (TSXV: PML, Lima: PML, Frankfurt: PZM) ("Panoro", the "Company") is pleased to
announce that it has completed its previously announced bought deal private
placement and issued 23,000,000 units (the "Units") at a price of
$0.60 per unit (the "Unit Price") for gross proceeds of $13,800,000
(the "Offering"), including the Units and gross proceeds realized
pursuant to exercise by the underwriters of their 15% over-allotment option.
The private placement was underwritten by a syndicate led by Macquarie Capital Markets
Canada Ltd., co-led by M Partners Inc. and including Mackie Research Capital
Corporation, Canaccord Genuity
Corp. and GMP Securities L.P. (collectively, the "Underwriters").
Each Unit is comprised of one common share and one-half of one common share
purchase warrant of the Company (each whole warrant, a "Warrant").
Each Warrant entitles the holder thereof to purchase one additional common
share of the Company for a period of 18 months at a price of $0.85 per common
share.
In consideration for their services, the Underwriters received a cash
commission equal to 7.0% cash, reduced to 3.5% in respect of the sale of
500,000 Units to President's list purchasers. In addition, the Underwriters
received a total of 1,592,500 compensation options (the "Compensation
Options"). Each Compensation Option entitles the Underwriters to acquire
one Unit on the same terms as the Offering for a period of 18 months at an
exercise price equal to the Unit Price.
The net proceeds of the Offering are intended to be used for continued
exploration and development of Cotabambas including
expansion of the drill program, preliminary metallurgical testing, geophysical
survey program, exploration and an updated NI 43-101 resource estimate, as well
as further exploration and development work at the Company's Antilla and Kusiorcco Projects
and for general corporate purposes.
All securities issued pursuant to the Offering are subject to a hold period
ending on July 8, 2012.
As a result of the Offering, the Company has 164,234,292 common shares
outstanding and 204,866,900 common shares on a fully diluted basis.
The Offering remains subject to the final approval of the TSX Venture Exchange.
This press release is not an offer to sell or the solicitation of an offer to
buy the securities, nor shall there be any sale of the securities in any
jurisdiction in which such offer, solicitation or sale would be unlawful prior
to qualification or registration under the securities laws of such
jurisdiction. The securities being offered have not been, nor will they be,
registered under the United States Securities Act of 1933, as amended (the
"U.S. Securities Act"), and such securities may not be offered or
sold within the United States or to a U.S. person absent registration or an
applicable exemption from U.S. registration requirements. "United
States" and "U.S. person" have the respective meanings assigned
in Regulation S under the U.S. Securities Act.
About Panoro
Panoro's strategic focus is to move its advanced
stage copper and copper/gold projects to the feasibility and development stages
and to explore its other properties. The Company's large portfolio includes the
advanced Cotabambas Copper-Gold and Antilla Copper-Molybdenum Projects which include Inferred
level resources of:
Cotabambas:
|
90 million tonnes @ 0.77%
Cu and 0.42 g/t Au @ 0.4% Cu cutoff (SRK, 2007)
(in situ content of 1.5 billion pounds of Cu and 1.2 million ounces of Au)
|
Antilla:
|
154 million tonnes @ 0.47%
Cu and 0.009% Mo @ 0.25% Cu cutoff (AMEC, 2009)
(in-situ content of 1.6 billion pounds of Cu and 30 million pounds of Mo)
|
In addition to the ongoing exploration program at the Cotabambas
Project, the Company also plans exploration work at the Antilla
Copper-Molybdenum Project, Kusiorcco Copper Project
and Cochasayhuas Gold Project in 2012. Panoro has ten other exploration properties in Peru and is
currently evaluating investment alternatives including joint ventures.
Panoro's significant portfolio of properties is
located primarily in the south-eastern region of Peru. This region contains a
number of important copper and copper/gold deposits including Xstrata's Las Bambas and Antapaccay Copper
Projects and the Tintaya Copper Mine. In September
2010, Xstrata announced US$5.7 billion of investment to develop the Las Bambas and Antapaccay projects.
The region also includes First Quantum Minerals' Haquira
Copper Project, HudBay Minerals' Constancia
Copper Project and Grupo Mexico's Los Chancas Projects.
Chris Staargaard, M.Sc., P.Geo., a Director of the Company
and a Qualified Person under National Instrument 43-101, has reviewed and
approved the scientific and technical information in this press release.
On behalf of the Board of
Panoro Minerals Ltd.