Avanti Mining Inc.

Avanti Mining Inc.

October 09, 2013 08:30 ET

Avanti Mining Issues Shares in Lieu of Cash for Interest Payable Under Terms of RCF Loan and Grants Stock Options

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct. 9, 2013) - Avanti Mining Inc. (TSX VENTURE:AVT)(PINKSHEETS:AVNMF) ("Avanti" or the "Company") announced today that in accordance with the terms of the Amended and Restated Loan Agreement (the "Loan Agreement") dated July 12, 2013, between Avanti, its wholly-owned subsidiary, Avanti Kitsault Mine Ltd., CEF (Capital Markets) Limited, Resource Capital Fund IV, LP ("RCF IV") and Resource Capital Fund VI, LP ("RCF VI"), Avanti has made interest payments in the aggregate amount of US$329,166.67 on the convertible loan for the period from July 12, 2013 to September 30, 2013. According to the terms and conditions set out in the Loan Agreement, RCF IV and RCF VI have the option to receive interest payments in the form of common shares of Avanti. Each of RCF IV and RCF VI have made a request to receive the interest payable on the convertible loan, US$219,444.44 and US$109,722.23 respectively, in common shares, and Avanti will deliver to RCF IV 3,995,750 common shares and to RCF VI 1,997,875 in satisfaction of the accrued interest payable for the period from July 12, 2013 to September 30, 2013. The shares will be subject to a four-month hold period.

The Company also announced today that it has granted 1,000,000 incentive stock options to an officer of the Company at an exercise price of Cdn$0.10 per share. These options are granted for a five-year term and will vest over an 18 month period from the date of grant. The options were granted in accordance with the Company's Stock Option Plan approved by shareholders on June 12, 2013.

Avanti is focused on the development of the past producing Kitsault molybdenum mine located north of Prince Rupert in British Columbia.

For further information, please visit www.avantimining.com

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.

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; statements related to the development of the Kitsault molybdenum mine, 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 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 Annual Information Form for the year ended December 31, 2012, which are 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.

Contact Information

  • Mark Premo
    Chief Executive Officer
    extension 223

    A.J. Ali
    Chief Financial Officer
    extension 222