Redzone Resources Ltd.

Redzone Resources Ltd.

March 24, 2010 17:07 ET

Redzone Announces Closing of Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 24, 2010) - Redzone Resources Limited (CNSX:REZ) ("Redzone") is pleased to announce that it has closed its previously announced private placement pursuant to which it has issued an aggregate of 9,627,887 units ("Units") at a price of $0.45 per Unit to raise aggregate gross proceeds of approximately $4,332,550. Each Unit consists of one common share and one-half of one share purchase warrant of Redzone (each whole such share purchase warrant, a "Warrant"). Each Warrant entitles the holder thereof to acquire one additional common share of Redzone at an exercise price of $0.65 per share at any time on or before March 24, 2012. In connection with the Offering, Redzone also issued an aggregate of 277,673 broker warrants to Jones Gable & Company Ltd., each broker warrant entitling the holder to acquire one common share of Redzone at a price of $0.65 per share, until March 24, 2012.

The securities described herein have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States unless registered under the Act or unless an exemption from registration is available.

Forward-Looking Statements:

Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of Redzone, including, but not limited to the impact of general economic conditions, industry conditions, risks associated with mining activities, volatility of commodity prices, currency fluctuations, dependence upon regulatory approvals, the availability of future financing and exploration risk. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

The CNSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Redzone Resources Ltd.
    Michael Murphy
    President and Chief Executive Officer
    (604) 649-2350