Augustine Ventures Inc.

April 28, 2011 16:01 ET

Augustine Ventures Issues Additional Units

TORONTO, ONTARIO--(Marketwire - April 28, 2011) - Augustine Ventures Inc. ("Augustine" or the "Company") stated on December 22, 2010, that the Company had completed an offering of 2,150,000 Flow Through Units and 4,000,000 Non Flow Through Units at the price of $0.20 per unit for gross proceeds of $1,230,000. The net proceeds to the Company after payment of costs and commissions were $1,121,273. The offering was done due to an engagement with IBK Capital Corp. ("IBK") to raise up to CDN$2.5 million for Augustine on a best efforts basis (see press release dated December 20, 2010).

Each Non Flow Through Unit consists of one common share and one common share purchase warrant (a "Warrant") of the Company. Each Warrant entitles the holder to purchase one additional common share of the Company at $0.40 for a period of two years following the closing date. The Warrant's expiry date shall be accelerated to thirty days from the fifteenth consecutive trading day on which the shares of the Company close at or above $0.60, provided that it occurs four months and a day after the closing date. All securities issued pursuant to the Non Flow Through Offering were subject to the statutory four month plus one day hold period from the closing date.

Each Flow Through Unit consists of one flow through share priced at $0.20 and one half common share purchase warrant of the Company. Each full Warrant entitles the holder to purchase one common share of the Company at $0.40 for a period of two years to expire on December 22, 2012. The Warrant's expiry date will be accelerated to thirty days from the fifteenth consecutive trading day on which the shares of the Company close at or above $0.60, provided that it occurs four months and a day after the closing date. All securities issued pursuant to the Flow Through Offering were subject to the statutory four month plus one day hold period from the closing date.

Under the terms of the engagement with IBK, if the Company's shares were not listed for trading on the TSX Venture Exchange or any other prescribed stock exchange within 4 months and 1 day (the "Listing Period") from the closing date, the subscribers shall receive, without any further action on their part and without payment of any further consideration, an additional number of units equal to 15% of the number of units subscribed for by such subscribers. The payment of such additional units (the "Additional Units") shall happen on the date that is five (5) days from the expiry of the Listing Period. The Additional Units shall be on the same terms as the Offering. The Listing Period had expired on April 23, 2011 and as a result, the Company is now obligated to and has issued the Additional Units as per the agreement.

Augustine has filed a listing application with the TSX Venture Exchange which is currently being reviewed by the exchange.

Wayne Isaacs states that, "The review has certainly taken much longer than anticipated but we remain confident that we will be listed and trading in a very short time".

After giving effect to the issuance of the Additional Units, the capitalization of Augustine is now as follows:

Issued & Outstanding Common Shares25,971,790
Stock Options615,000
Warrants14,288,040
Compensation Options1,020,000

About Augustine Ventures Inc.

Augustine Ventures Inc. is a junior gold exploration company which has secured an option to earn a 60% interest in the Wawa Gold Project which encompasses 2,345 hectares in McMurray Township, southeast of the town of Wawa. Over 95 percent of the property consists of leases and/or patents for both mineral and surface rights that are easily accessible. The property has a known depth extension to 600 meters, a history of past production from the known deposits and a large number of untested but documented gold occurrences on the property. Augustine recently completed private placements for gross proceeds of $2,550,000 in flow through and non-flow through financing. The purpose of the private placements was to satisfy financial obligations with respect to the Wawa Option Agreement and for general and administrative purposes.

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