Serabi Mining, the AIM-traded gold exploration company,
advises that further to its announcement of 3 December 2010 which stated it was
seeking a listing of its shares on a recognized Canadian stock exchange, the
Company has now filed a preliminary prospectus ("the Preliminary
Prospectus") with certain of the securities regulators in Canada.
The Preliminary Prospectus remains subject to comments by the securities
regulators and potential amendment, but will be the basis for a final
prospectus that will qualify the distribution of the ordinary shares and
ordinary share purchase warrants issuable on the exercise of 10,070,000
previously issued special warrants (the "Special Warrant Offering")
also announced by the Company on 3 December 2010. The preliminary prospectus will also to qualify the distribution of
additional securities that the Company has previously advised it may issue at
the time that it completes the proposed listing of its shares.
The Special Warrant Offering was
completed on a private placement basis on 2 December 2010. Fraser Mackenzie
Limited acted as the Canadian placement agent for the Special Warrant Offering.
Each whole ordinary share purchase warrant issuable on exercise of the special
warrants is exercisable for one ordinary share at a price of $0.75 at any time
prior to 5:00 p.m. (Toronto time) on December 2, 2012. As part of the
conditions of the Special Warrant Offering, the Company undertook to obtain a
listing of its shares in Canada before 1 April 2011. The Company at this
stage expects that it will be in a position to fulfill this condition.
The ordinary shares will continue
to be listed and traded in the UK on AIM.
EXPLORATION STATUS
Drilling activity is on-going at Palito and, as previously advised, the Company expects to
announce results from each of the nine target drilling areas for each discrete
area as soon as its has received and interpreted all
results from that area. The Company still hopes that first results will
be available before end of the first quarter.
The previously announced 8,000
hectare helicopter borne VTEM survey was flown and completed during January and
the Company is waiting for the contractor to review, verify and collate the
various data files gathered, before being able to pass this information to the
Company's own geophysical consultant for interpretation and correlation with
other geological data that the Company holds.
CAUTIONARY STATEMENT
In accordance with Canadian
practice the Preliminary Prospectus has been filed on the System for Electronic
Document Analysis and Retrieval ("SEDAR") the mandatory document and
filing system for Canadian public companies. It should be noted that whilst
the Preliminary Prospectus is required to be made publicly available under
Canadian securities legislation, under securities regulations in the UK it
would not be normal practice for a document in the form of the Preliminary
Prospectus to be made publicly available. The Preliminary Prospectus has
not become final for the purpose of the sale of any securities and the
information contained within the Preliminary Prospectus may not be complete and
may have to be amended. No reliance therefore may be placed for any purpose
whatsoever on the information contained in the Preliminary Prospectus or on its
completeness and neither the Company, its Directors and officers or its
professional advisers accept any liability for any information or opinions
contained therein. The offering of securities contemplated by the Preliminary
Prospectus remains subject to
certain conditions including, but not limited to, the receipt of all necessary
regulatory approvals.
As the Preliminary Prospectus is
available on SEDAR, under AIM Rule 26 the Company is required to make available
the Preliminary Prospectus on its web-site www.serabimining.com. Any
party accessing the Preliminary Prospectus should note the disclaimers contained
therein in particular in relation to the use of the Preliminary Prospectus and
its distribution to investors in the UK.
FORWARD-LOOKING STATEMENTS
This press release contains
forward-looking statements. More particularly, this press release contains
statements concerning the offering of securities contemplated by the
Preliminary Prospectus, the exercise of the Special Warrants and the listing of
the Company's shares in Canada, The forward-looking statements are based on
certain key expectations and assumptions made by the Company. Although
the Company believes that the expectations and assumptions on which the
forward-looking statements are based are reasonable, undue reliance should not
be placed on the forward-looking statements because the Company can give no
assurance that they will prove to be correct. Since forward-looking
statements address future events and conditions, by their very nature they
involve inherent risks and uncertainties. Actual results could differ
materially from those currently anticipated due to a number of factors and
risks. The forward-looking statements contained in this press release are
made as of the date hereof and the Company undertakes no obligation to update
publicly or revise any forward-looking statements or information, whether as a
result of new information, future events or otherwise, unless so required by
applicable securities laws.
Enquiries:
Serabi Mining plc
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Clive Line
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Tel: 020 7246
6830
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Finance
Director
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Mobile: 07710
151692
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Email:
contact@serabimining.com
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Website:
www.serabimining.com
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Beaumont Cornish Limited
Nominated
Adviser
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Roland
Cornish
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Tel: 020 7628
3396
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Michael
Cornish
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Tel: 020 7628
3396
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Fraser Mackenzie Limited
Canadian Broker
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JC
St-Amour
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Tel:
+1 416 955 4777
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Hybridan LLP
UK
Broker
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Claire
Noyce
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Tel: 020 7947 4350
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Farm Street Communications
Public
Relations
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Simon
Robinson
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07593 340107
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Copies
of this release are available from the company's website www.serabimining.com.