Great Western Minerals Group Ltd.
TSX VENTURE : GWG
PINK SHEETS : GWMGF

Great Western Minerals Group Ltd.

June 24, 2010 09:16 ET

Great Western Minerals Group Extends Expiry Dates of Warrants and Debenture

SASKATOON, SASKATCHEWAN--(Marketwire - June 24, 2010) -

(NOT FOR DISTRIBUTION TO THE UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES)

Great Western Minerals Group Ltd. (TSX VENTURE:GWG) (OTCQX:GWMGF) (PINK SHEETS:GWMGF) ("GWMG" or the "Company") announced today that it has extended the expiry date of an aggregate of 750,000 common share purchase warrants originally issued on June 27, 2008 in connection with the acquisition of Less Common Metals Limited (the "Warrants"). The expiry date of the Warrants has been extended from June 27, 2010 to June 27, 2011 and all other terms of the Warrants remain unamended, including the exercise price of $0.30. The amendments to the Warrants are subject to the approval of the TSX Venture Exchange.

GWMG also announced that it has extended the term of a secured convertible debenture with an initial principal amount (the "Principal Amount") of USD$181,370 (the "Debenture") originally issued on August 25, 2009. The term of the Debenture has been extended to November 25, 2010. The Principal Amount has been increased to USD$190,438.50, representing a 10% premium (per annum) to the initial Principal Amount and remains convertible into common shares in the capital of the Company ("Common Shares") at the original conversion price of C$0.20 per Common Share at the option of the holder. The Company has the ability to repay the Debenture without penalty at any time and the Debenture has no cash interest component. The amendments to the Debenture are subject to the approval of the TSX Venture Exchange.

Jim Engdahl, President and CEO

Great Western Minerals Group Ltd. is an integrated Rare Earths producer. Its specialty alloys are used in the battery, magnet and aerospace industries. Produced at the Company's wholly-owned subsidiaries Less Common Metals Limited in Birkenhead, UK and Great Western Technologies Inc. in Troy, Michigan, these alloys contain aluminum, nickel, cobalt and Rare Earth Elements. As part of the Company's vertical integration strategy, GWMG holds an option with respect to the former Rare Earths producing Steenkampskraal mine in South Africa as well as seven Rare Earth exploration and development properties in North America.

This news release shall not constitute an offer to sell or the solicitation of an offer to buy securities of the Company in any jurisdiction. The securities to be issued pursuant to the Offering by the Company have not and will not be registered under the United States Securities Act of 1933, as amended (the "1933 Act"), or the securities laws of any state of the United States, and may not be offered or sold in the United States absent registration or an applicable exemption therefrom under the 1933 Act and the securities laws of all applicable states.

Certain information set out in this News Release constitutes forward-looking information. Forward-looking statements (often, but not always, identified by the use of words such as "expect", "may", "could", "anticipate" or "will" and similar expressions) may describe expectations, opinions or guidance that are not statements of fact and which may be based upon information provided by third parties. Forward-looking statements are based upon the opinions, expectations and estimates of management of the Company as at the date the statements are made and are subject to a variety of known and unknown risks and uncertainties and other factors that could cause actual events or outcomes to differ materially from those anticipated or implied by such forward-looking statements. Those factors include, but are not limited to risks, uncertainties and other factors that are beyond the control of the Company, risks associated with the industry in general, commodity prices and exchange rate changes, operational risks associated with exploration, development and production operations, delays or changes in plans, risks associated with the uncertainty of reserve estimates, health and safety risks and the uncertainty of estimates and projections of production, costs and expenses. In light of the risks and uncertainties associated with forward-looking statements, readers are cautioned not to place undue reliance upon forward-looking information. Although the Company believes that the expectations reflected in the forward-looking statements set out in this press release or incorporated herein by reference are reasonable, it can give no assurance that such expectations will prove to have been correct. The forward-looking statements of GWMG contained in this News Release, or incorporated herein by reference, are expressly qualified, in their entirety, by this cautionary statement and the risk factors contained in GWMG's current annual information form.

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.

Contact Information

  • Great Western Minerals Group Ltd.
    Dwight Percy
    Manager of Investor Relations
    (306) 659-4500
    info@gwmg.ca
    www.gwmg.ca
    or
    Great Western Minerals Group Ltd.
    226 Cardinal Crescent
    Saskatoon, SK S7L 6H8