Northair Completes Oversubscribed Non Brokered Private Placement
International Northair Mines Ltd. ("Northair" or the "Company") (TSXV:INM), announces that it has closed its non-brokered private placement with the issuance of 13,070,000 Units at a price of $0.05 per Unit for gross proceeds of $653,500. Each Unit is comprised of one common share and one common share purchase warrant. Each warrant will entitle the holder to acquire one common share of Northair for 24 months from the closing date at a price of $0.10 for the 12 months immediately following the closing date and $0.20 thereafter. The warrants will be subject to an accelerated exercise provision if the share price of Northair trades at or above $0.35 for 10 or more consecutive trading days.
Net proceeds of this private placement will be used to further the Company's exploration projects, fund possible new acquisitions and for general working capital.
Northair paid finders fees in respect of certain purchasers of securities introduced to the Company by the finder. The finders' fees equaled 7% of the aggregate amount subscribed to by those purchasers (which totaled 11,650,000) and were paid as to 7% in Units, with these Units having the same terms as the Units issued to the placees. The finders were also issued 815,500 broker's warrants, which may be exercisable into common shares for 24 months from the closing date at a price of $0.10 for the 12 months immediately following the closing date and $0.20 thereafter.
The common shares issued and the common shares underlying the warrants are subject to a four month hold period that expires on September 20, 2009.
Northair is currently conducting further technical and legal due diligence regarding the potential acquisition of the La Cigarra silver project, located in the State of Chihuahua, Mexico.
At the Company's La India gold project, located in the state of Durango, Mexico; Fresnillo PLC is currently conducting a diamond drill program. Fresnillo can earn an initial 60% property interest in La India by spending US$1,750,000 in exploration expenditures, and making payments to Northair.
Northair also maintains the El Reventon silver-lead-zinc project in Durango and the Sierra Rosario silver-gold project (in a joint venture with Sparton Resources Inc.) in Sinoloa. Both properties cover attractive mineral occurrences and the Company is soliciting interest from possible joint venture partners in order to advance these projects.
The technical information in this news release has been prepared in accordance with Canadian regulatory requirements set out in National Instrument 43-101 and reviewed by Jim Robinson, the Company's Vice President of Exploration, and a Qualified Person under NI 43-101.
ON BEHALF OF THE BOARD,
INTERNATIONAL NORTHAIR MINES LTD.
"Fred G. Hewett"
Fred G. Hewett, P.Eng.
President & CEO
For further information please contact Fred Hewett, President or Chris Curran, Investor Relations
at 604-687-7545 or 1-888-338-2200
Website: www.northair.com/international/ Email: email@example.com
Neither 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 news release.
This news release may contain forward looking statements which are not historical facts, such as ore reserve estimates, anticipated production or results, sales, revenues, costs, or discussions of goals and exploration results, and involves a number of risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to, metal price volatility, volatility of metals production, project development, ore reserve estimates, future anticipated reserves and cost engineering estimate risks, geological factors and exploration results. See Northair's filings for a more detailed discussion of factors that may impact expected results.