VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 16, 2013) -
NOT FOR DISSEMINATION IN THE UNITED STATES
Mr. Raymond A. Hrkac, President and CEO of GGL Resources Corp. (News - Market indicators) ("GGL") announces that GGL has closed its non-brokered private placement of non-flow-through units originally announced on March 7, 2013.
7,550,000 units at $0.02 per unit were placed for gross proceeds of $151,000. Each unit consists of one common non flow-through share and one non-transferable non-flow through warrant. Each warrant will entitle the holder to purchase one non flow-through common share up to May 8, 2018 at $0.05 per share during the first year and at $0.10 per share during years two to five, according to the requirements of the TSXV's Temporary Relief Measures dated April 12, 2013. The securities for this closing have a hold period until September 9, 2013. The Board of Directors approved the private placement with those participating abstaining from voting relative to their subscription. Messrs. Graham Eacott and William Meyer, directors of the Company participated in the financing along with associates of Mr. Ray Hrkac, the President and Mr. Nick DeMare, Secretary.
If GGL's common shares trade on the TSX Venture Exchange at a closing price greater than $0.40 per share for twenty consecutive trading days at any time after four months and one day from the closing date, GGL may accelerate the expiry of the warrants by giving notice to the holders thereof, and in such case the warrants will expire on the 30th day after the date on which such notice is given.
The proceeds of the private placement will be used over the next four month period to prepare for and conduct the forthcoming Annual General and Special Meeting of the Company, estimated to be as follows:
| 1) |
audit and legal fees |
$35,000 |
| 2) |
mailing, printing of material |
15,000 |
| 3) |
TSXV annual sustaining fee |
5,000 |
| 4) |
rent |
10,000 |
| 5) |
insurance |
5,000 |
| 6) |
transfer agent |
1,000 |
| 7) |
office and accounting staff |
20,000 |
| |
|
_______ |
| |
|
$91,000 |
The balance of the funds $60,000 will be used to pay for land surveys required to take certain claims to lease as required under the Northwest Territories Mining Regulations, to make lease payments to the Receiver General of Canada (Northwest Territories Government) and to hold certain mineral claims in good standing.
None of the proceeds will be used to pay Related Parties.
About GGL
GGL is a diversified mineral exploration company. GGL holds mineral claims and leases in the Northwest Territories of Canada ("NT") prospective for gold, silver, nickel, base metals and diamonds; and a JV in the Doyle Diamond Project where De Beers Canada Inc. has a 60% interest and GGL a 40% carried interest. In British Columbia, Canada, GGL owns a 100% interest in the McConnell Creek gold and copper-gold Property.
GGL RESOURCES CORP.
Raymond A. Hrkac, President & CEO
For further information, email: info@gglresourcescorp.com or visit our web site at www.gglresourcescorp.com.
Forward-Looking Information: This news release contains "forward-looking statements" and the cautions regarding such statements apply.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered in the United States Securities Act of 1933, as amended (the "US Securities Act") or any state securities laws and may not be offered or sold within the United States or to US Persons unless registered under the US Securities Act and applicable securities laws or an exemption from such registration is available.
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. 
