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Prophecy Resource Corp. ("Prophecy" or the
"Company") (TSX VENTURE:PCY - News;
OTCQX:PRPCF)(FRANKFURT:1P2
- News) provides notice of
the accelerated expiry of approximately 3,355,585 share purchase warrants of
the Company which were issued in various private placements (the
"Warrants"). 1,711,533 Warrants are exercisable to purchase one
common share of the Company at a price of $0.50 per share until December 31,
2011. 915,750 Warrants are exercisable to purchase one common share of the
Company at a price of $0.40 per share until December 31, 2011 and 728,302
Warrants are exercisable to purchase one common share of the Company at a
price of $0.40 per share until January 25, 2012.
Pursuant to the terms of the Warrants, the expiry
date of the Warrants may be accelerated at any time prior to the expiry date
of the Warrants if the closing price of the Company's common shares on the
TSX Venture Exchange exceeds $0.60, in the case of the $0.40 warrants and
$0.70, in the case of the $0.50 warrants, for a period of 20 consecutive
trading days. As a result, the expiry date of the Warrants is being
accelerated to 5:00 pm (Vancouver time) on February 4, 2011 (the "Early
Expiry Time"). Any Warrants remaining unexercised after the expiration
of the Early Expiry Time will be cancelled and will thereafter be of no force
and effect.
How to Exercise Warrants
Warrant holders who wish to exercise their Warrants
should instruct their investment advisor for an "immediate
exercise" and be prepared to provide payment (by certified cheque, bank draft or money order) to their advisor firm
equal to the exercise price for each warrant exercised. Once the Company
receives payment and required documentation the Warrants will be cancelled
and the warrant holder will receive Prophecy common shares.
Investors should consult with their investment
advisor to confirm the time required to complete this process and other costs
associated with the exercise, if any.
Warrant holders who hold a physical certificate wishing
to exercise warrants need to provide the Company with a certified cheque, bank draft or money order payable to Prophecy
Resource Corp., an exercise form and warrant certificate. For assistance,
contact the Company directly.
About Prophecy Resource
Prophecy is an internationally diversified company
engaged in developing energy, nickel and platinum group metals projects. The
Company controls over 1.4 billion tons of open-pittable
thermal coal in Mongolia (839 Mt Measured, 579 Mt Indicated). Prophecy's Ulaan Ovoo coal deposit in
Mongolia is in production. In Canada, Prophecy owns Wellgreen
PGM Project in Yukon, Lynn Lake Nickel Sulphide
Project in Manitoba, and a 10% equity stake in Victory Nickel. Mineral
resources that are not mineral reserves do not have demonstrated economic
viability.
ON BEHALF OF THE BOARD OF DIRECTORS of Prophecy
Resource Corp.
John Lee, Chairman
"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."
Contact:
Scott Parsons
Prophecy Resource Corp.
+1.604.642.2625 ext. 106
Paul McKenzie
Prophecy Resource Corp.
+1.604.642.2625 ext. 107
John Lee
Prophecy Resource Corp.
+1.800.851.1528
john@prophecyresource.com
www.prophecyresource.com |