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Canarc Closes CA$960,000 in Two Private Placement Financings
Vancouver, Canada � October 26, 2009
- Canarc Resource Corp. (CCM: TSX,
CRCUF: OTC-BB, CAN: DB-F) announces that it has closed the two non-brokered
private placement equity financings totaling CA$960,000 that were announced
on September 9, 2009.
The first private placement consisted of 4,000,000
flow-through shares priced at CA$0.12 each for gross proceeds of
CA$480,000. The flow-through shares will entitle the holders to a 100% CEE
deduction, as well as the 15% federal tax credit in Canada.
The second private placement consisted of 4,800,000
units priced at CA$0.10 each for gross proceeds of CA$480,000. Each unit
consisted of one common share and one half share purchase warrant. Each
full warrant can be exercised to purchase an additional common share at
CA$0.15 within an 18 month period.
Three flow-through funds of MineralFields Group
participated in the flow through placement for 2,888,000 shares or CA
$346,560 in total. MineralFields Group (a division of Pathway Asset
Management), based in Toronto, Vancouver and Calgary, is a mining fund with
significant assets under administration that offers its tax-advantaged
super flow-through limited partnerships to investors throughout Canada.
Both private placements were over-subscribed by a
small margin (13-17%) but the TSX did not approve the oversubscribed
amounts. The Company is considering an appeal of the TSX decision not
to approve the oversubscribed amounts.
Canarc
Resource Corp. is a growth-oriented, gold exploration company listed on the
TSX (CCM) and the OTC-BB (CRCUF). Canarc is currently focused on
exploring its recently acquired Tay LP gold property in south-central Yukon
and seeking a partner to advance its New Polaris gold mine project in
north-western British Columbia to the feasibility stage. Barrick Gold
Corp. is a shareholder.
CANARC
RESOURCE CORP.
Per:
/s/
Bradford J. Cooke
Bradford
J. Cooke
Chairman and C.E.O.
For more
information, please contact Gregg Wilson at Toll Free: 1-877-684-9700, tel:
(604) 685-9700, fax: (604) 685-9744, email: info@canarc.net
or visit our website, www.canarc.net.
CAUTIONARY
DISCLAIMER � FORWARD LOOKING STATEMENTS
Certain statements contained herein constitute "forward-looking
statements" within the meaning of the United States Private Securities
Litigation Reform Act of 1995. All statements that are not historical
facts, including without limitation statements regarding future estimates,
plans, objectives, assumptions or expectations of future performance, are
"forward-looking statements". We caution you that such
"forward-looking statements" involve known and unknown risks and
uncertainties, as discussed in the Company's filings with Canadian and
United States securities agencies. The Company expressly
disclaims any obligation to update any forward-looking statements other
than as required by applicable law. We seek safe harbour.
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