Explorator Resources Inc. is a Canadian-based mining exploration company focused on building a strong portfolio of copper-gold Projects in South America.
Message: Completes Sale of a 51% Interest in Its Chilean Subsidiary and Private Placement
| March 20, 2009 |
| Explorator Completes Sale of a 51% Interest in Its Chilean Subsidiary and Private Placement |
| TORONTO, ONTARIO--(Marketwire - March 20, 2009) - Explorator Resources Inc. ("Explorator" or the "Company") (TSX VENTURE:EXO) is pleased to report that, following receipt of final approval from the TSX Venture Exchange, it has completed the sale of a 51% interest in Explorator Resources Chile S.A. (currently Explorator's 100% owned subsidiary) to Sociedad Punta del Cobre S.A. ("SPC") in exchange for payments totaling up to US$18.5 million; US$10 million of which will be paid to Explorator Chile on or before March 25, 2009; US$7 million of which will be paid to Explorator Chile within 18 months of the date hereof, and US$1.5 million in the event and to the extent such amount is required to complete a bank feasibility study of the Company's properties. In addition, following receipt of final approval by the TSX Venture Exchange, the Company has completed its previously announced private placement with SPC through the issuance of 12,067,796 common shares at CAD$0.1475 per common share for gross proceeds of CAD$1,779,999.91 (the "Private Placement"), representing 18.02% of the issued and outstanding common shares of the Company. Following the Private Placement, SPC now owns 12,067,796 common shares of the Company, representing 18.02% of the issued and outstanding common shares of the Company. SPC acquired the common shares for investment purposes and may, depending on the market and other conditions, increase or decrease its beneficial ownership, control or direction over common shares of the Company Pucobre is located at El Bosque Sur 130, Piso 14, Las Condes, Santiago, Chile. An early warning report will be filed on Sedar and may be obtained from the SEDAR website (www.sedar.com). For further information, please contact: Ignacio Ruiz, CFO, phone: + 56-2-379-4560. Each of the common shares is subject to a hold period that will expire on July 20, 2009. The proceeds of the offering will be used for the exploration and development of the Company's properties and for working capital purposes. THE COMMON SHARES WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, AND MAY NOT BE OFFERED OR SOLD WITHIN THE UNITED STATES OR TO OR FOR THE ACCOUNT OR BENEFIT OF, U.S. PERSONS ABSENT REGISTRATION OR AN APPLICABLE EXEMPTION FROM U.S. REGISTRATION REQUIREMENTS. THIS PRESS RELEASE SHALL NOT CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY NOR SHALL THERE BE ANY SALE OF THE SECURITIES IN ANY STATE IN WHICH SUCH OFFER, SOLICITATION OR SALE WOULD BE UNLAWFUL. For further details on the Agreement and the Private Placement, please see the Company's press release dated January 20, 2009. A copy of the private placement agreement is available under Explorator's profile on SEDAR (www.sedar.com). About Explorator Resources Explorator Resources is a Canadian-based mining exploration company focused on advancing its El Espino Copper-Gold Project in Chile. The Company is currently completing a scoping study on the Project. The Project lies within the prolific copper-gold mineral area of the Cordillera de la Costa and is central to an important cluster of "Candelaria-style" copper-gold deposits. It is located 3.5 hours drive north of Santiago. The El Espino project block covers 75 square kilometres and is host to major gold and copper mineralized structures on which nine small operating mines have been developed. |
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