Trelawney Announces $8,000,000 Bought Deal Private Placement
TORONTO, ONTARIO--(Marketwire - March 12, 2010) - NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN. Trelawney Mining and Exploration Inc. (the "Company") (TSX VENTURE:TRR) is pleased to announce that it has entered into an agreement with Jennings Capital Inc. as lead agent including Raymond James Ltd. (the "Underwriters") pursuant to which the Underwriters have agreed to purchase an aggregate of 7,619,048 common shares ("Common Shares") Trelawney in connection with a bought deal private placement offering at a price of $1.05 per Common Share for gross proceeds of $8,000,000 (the "Offering"). In addition, the Underwriters shall also have the option, exercisable prior to the closing of the Offering, to purchase up to an additional 1,142,857 Common Shares at the issue price under the Offering for additional gross proceeds of up to $1,200,000. The Agents will be paid a cash commission equal to 6% of the gross proceeds of the Offering and Trelawney will also issue broker warrants ("Broker Warrants") exercisable to purchase that number of Common Shares equal to 6% of the aggregate number of Common Shares sold pursuant to the Offering. Each Broker Warrant entitles the holder to acquire one Common Share at a price of $1.05 for a period of two years from the date of the closing of the Offering. Proceeds of the Offering will be used for further exploration and development of the Chester Property and for general working capital purposes. Shares Issued: 69,753,691 This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. 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.
President & CEO
Trelawney Mining and Exploration Inc.