Avanti Mining Inc.

Avanti Mining Inc.

September 15, 2008 14:14 ET

Avanti Mining Inc. Announces Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 15, 2008) -


Avanti Mining Inc. (CNQ:AVMI) ("Avanti") is pleased to announce that it has appointed BMO Capital Markets and Macquarie Capital Markets Canada (the "Agents") to use their best efforts to sell on a private placement agency basis up to $25 million of special warrants (the "Special Warrants") of Avanti. Each Special Warrant will entitle the holder to receive, without payment of any further consideration, one common share in the capital of Avanti and one half of one common share purchase warrant (the "Warrants") of Avanti. Upon closing of the offering, the gross proceeds from the sale of the Special Warrants will be deposited and held by an escrow agent to be released upon satisfaction of the conditions to the purchase by Avanti of the past producing Kitsault molybdenum mine and surrounding mineral tenures, located in northern British Columbia, from Aluminerie Lauralco Inc.

The price of the Special Warrants and the terms of the underlying Warrants will be determined by Avanti and the Agents in the context of the market. Avanti intends to use the net proceeds of the offering to complete the Acquisition, to complete a feasibility study, and for general corporate purposes. All securities issued pursuant to the offering will be subject to a four month hold period. Avanti has agreed to use commercially reasonable efforts to obtain a final receipt for a prospectus qualifying the distribution of the securities underlying the Special Warrants. Completion of the offering is subject to certain conditions including the approval of the CNQ Stock Exchange.

The securities being offered have not, nor will they be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirement. This release does not constitute an offer or sale of securities in the United States.

Forward-Looking Statements: This news release contains certain forward-looking information concerning the business of Avanti Mining Inc. (the "Corporation"). All statements, other than statements of historical fact, included herein including, without limitation; anticipated amount of the financing, timing for completion of the financing, use of proceeds from the financing and the filing of a prospectus, are forward-looking statements. These forward-looking statements are based on the opinions of management at the date the statements are made and are based on assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events to differ materially from those projected in forward-looking statements. Important factors that could cause actual results to differ materially from the Corporation's expectations include fluctuations in commodity prices and currency exchange rates; uncertainties relating to market price fluctuations, economic and market conditions, interpretation of drill results and the geology, continuity and grade of mineral deposits; uncertainty of estimates of capital and operating costs, recovery rates, production estimates and estimated economic return; the need for cooperation of government agencies and native groups in the exploration and development of properties and the issuance of required permits; the need to obtain additional financing to develop properties and uncertainty as to the availability and terms of future financing; the possibility of delay in exploration or development programs or in construction projects and uncertainty of meeting anticipated program milestones; uncertainty as to timely availability of permits and other governmental approvals; and other risks and uncertainties disclosed in the Corporation's prospectus dated July 31, 2007, which is available at www.sedar.com. The Corporation is under no obligation to update forward-looking statements if circumstances or management's opinions should change, except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements.

The CNQ Stock Exchange does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Avanti Mining Inc.
    Craig J. Nelsen
    Chief Executive Officer
    (303) 565-5491, extension 13
    Avanti Mining Inc.
    Cheryl A. Martin
    Investor Relations
    (303) 565-5491, extension 12
    Website: www.avantimining.com