Archean Star Resources Inc.
TSX VENTURE : ASP

Archean Star Resources Inc.

June 19, 2012 18:59 ET

Archean Star Announces Non-Brokered Private Placement; Closes First Tranche for $509,800

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 19, 2012) - Archean Star Resources Inc. (TSX VENTURE:ASP) ("Archean" or the "Company") announces that it has arranged for a non-brokered Private Placement consisting of up to 12,000,000 Units at $0.06 cents per Unit and, subject to acceptance for filing by the TSX Venture Exchange ("TSX-V"), has closed a first tranche of 8,496,666 Units for gross proceeds of $509,800.

Each unit consists of one (1) common share and one (1) non-transferable common share purchase warrant. Each warrant is exercisable for a period of one (1) year from closing and will entitle the holder to purchase one additional common share in the capital stock of the Company at a price of $0.12 per common share for a period of twelve months. Shares subscribed for in the Private Placement are subject to a four (4) month plus one day hold period.

Finder Fees consisting of Cash and Compensation Warrants may be paid pursuant to the policies of the TSX-V. Each Compensation Warrant will entitle the holder to purchase one (1) common share of the Company for a period of 12 months from the date of issuance at a price of $0.12 per Compensation Warrant.

The proceeds from the financing are to be used for proposed property acquisitions, the Gnaweeda Gold Project and for general and corporate purposes.

Subject to the approval of the TSX-V, the Company announces the grant of 400,000 incentive stock options to Officers, Directors, Employees and Consultants of the Company exercisable at a price of $0.10 per common share.

The Company announces the appointment of Giuseppe Gallo, CGA, as Chief Financial Officer ("CFO") of the Company.

Archean Star Resources Inc. is a junior exploration company that, through its wholly owned subsidiary, Archean Star Resources Australia Pty Ltd, has entered into an Option Agreement, subject to a 75% back in right, to earn 100% of Teck Australia Pty Ltd's interest in the Gnaweeda Gold Project in Western Australia.

This news release has been prepared on behalf of the Archean Star Resources Inc. Board of Directors, which accepts full responsibility for its contents.

ON BEHALF OF THE BOARD

Graeme O'Neill, President

Neither the TSX Venture Exchange, nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), has reviewed, nor do they accept responsibility for, the adequacy or accuracy of this news release.

Contact Information

  • Archean Star Resources Inc.
    Graeme O'Neill
    President
    (604) 684-3394
    (888) 282-7763 (FAX)
    www.archeanstar.com