GEOMEGA RESOURCES INC. CLOSES ADDITIONAL TRANCHE OF $100,000 FOR A TOTAL PRIVATE PLACEMENT OF $1,000,000
For immediate distribution
MONTREAL, February 3, 2012 – Geomega Resources Inc. (“GéoMégA”) announces the closing of an additional tranche of a non-brokered private placement (the “Placement”) of units for proceeds of $100,000 with an institutional fund. The securities issued under the Placement are subject to a four (4) month hold period.
GéoMégA issued 111,111 units at a price of $0.90 total Placement of 1,111,110 units. Each unit consists of one (1) common share and one-half warrant. Each full warrant entitles the holder to purchase, during a period of eighteen (18) months from the date of closing, one common share at an exercise price of $1.35 per share.
“We oversubscribed our initial maximum offering, this additional tranche closes following the conditional approval of the TSX Venture Exchange. Proceeds of the Placement will be used for continued exploration drilling at the Montviel property and initial exploration work on our other rare earth elements (“REE”) properties.” comments Simon Britt.
GéoMégA is a Quebec based mineral exploration company focused on the identification and development of economic REE deposits. GéoMégA’s current mineral portfolio is located in the Abitibi and Upper Laurentians regions of Québec.
Currently, GéoMégA has 15,583,253 common shares outstanding and $2.8M in cash.
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 release.
For more information contact:
President and CEO