Afri-Can Marine Minerals Corporation
TSX VENTURE : AFA

Afri-Can Marine Minerals Corporation

August 21, 2012 09:47 ET

Afri-Can Closes Final Tranche of Financing for $1.3 Million

MONTREAL, QUÉBEC--(Marketwire - Aug. 21, 2012) - Afri-Can Marine Minerals Corporation ("Afri-Can" or the "Corporation") (TSX VENTURE:AFA) announces that it has closed the third and final tranche of $1,000,000 of the brokered private placement announced on April 12th and 20th, 2012, through Trinity Assets Management International Ltd. ("Trinity"). The Corporation also raised an additional $347,976 by way of a non-brokered private placement. To date, the Corporation has raised aggregate gross proceeds of $3,783,456 from private placements.

The third tranche of the brokered private placement comprises 6,250,000 units ("Unit") of Afri-Can, at a subscription price of $0.16 per Unit (the "Units"). The Non-Brokered Placement comprises 2,174,850 Units. Each Unit consists of one (1) common share and one (1) common share purchase warrant ("Warrant") of the Company. Each full Warrant entitles the holder thereof, during a period of 36 months from the date of closing of the placement, to purchase one (1) Afri-Can common share at an exercise price of $0.20 per common share. Each security issued pursuant to the placement has a mandatory four (4) month holding period from the date of closing of the placement. The Corporation will pay Trinity Assets Management International Ltd. of Mauritius a finder's fee of $50,000.

Regarding EPL 3403, the geophysical survey analysis and interpretation are well advanced. The high quality and resolution of the data enables modeling of the geology, morphology and stratigraphy of the south end of EPL 3403 in greater detail than previously planned. This is expected to lead to improved preparation and planning for the second sampling program, and for eventual trial mining to follow. With the closing of the financing, Afri-Can is now in a position to negotiate a charter agreement for the vessel MV DP The Explorer in order to carry out the second sampling program, which will focus on previously identified diamondiferous depositional areas. Planning of the program is currently underway and will be disclosed to our shareholders in due course.

EPL 3403 covers approximately 800 square kilometres and is adjacent to and north of the Atlantic One Mining Lease ("ML") 47 (owned by Namdeb Diamond Corporation (Pty) Limited, a 50:50 partnership between the Government of the Republic of Namibia and De Beers Centenary AG). Atlantic One, which is the largest marine diamond deposit in the world and currently produces in excess of 1,100,000 carats per year.

Previous sampling programs by Afri-Can and IMDH in EPL 3403 recovered 117 diamonds. The largest stones weighed 2.69, 1.70 and 1.60 carats. Three diamondiferous depositional areas were delineated, two of which have an average diamond size of over 0.50 carats per stone, matching the average size recovered in the adjacent concessions.

About Afri-Can Marine Minerals Corporation

Afri-Can is a Canadian company, actively involved in the acquisition, exploration and development of major properties in Namibia. Afri-Can's creative and scientific approach targets large marine diamond deposits in prospective territories.

This press release contains certain "forward-looking statements," as identified in the Afri-Can's periodic filings with Canadian Securities Regulators that involve a number of risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those 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.

Shares outstanding: 83,277,864

Contact Information

  • Pierre Leveille
    President & CEO
    (514) 846-2133
    TOLL FREE North America: 1 (866) 206-7475
    (514) 372-0066 (FAX)

    Bernard J. Tourillon
    Executive V.P. and CFO
    (514) 846-2133
    TOLL FREE North America: 1 (866) 206-7475
    (514) 372-0066 (FAX)
    info@afri-can.com
    www.afri-can.com