Delrand Resources Limited

TSX : DRN
JSE : DRN


Delrand Resources Limited

April 15, 2014 07:17 ET

Delrand Announces Private Placement Financing

TORONTO, ONTARIO--(Marketwired - April 15, 2014) -

NOT FOR DISSEMINATION IN THE UNITED STATES

Delrand Resources Limited ("Delrand" or the "Company") (TSX:DRN)(JSE:DRN) announces that it proposes to carry out a non-brokered private placement of 2,000,000 common shares of the Company (the "Shares") at a price of Cdn$0.075 per Share for proceeds to the Company of Cdn$150,000. Closing of this financing (the "Financing") is subject to receipt of all necessary approvals, including board and Toronto Stock Exchange approvals. The Company intends to use the proceeds from the Financing for general corporate purposes. Arnold T. Kondrat is the proposed purchaser of all of the Shares. Mr. Kondrat is a director of the Company, and currently holds 12,359,700 (or 19.99%) of the outstanding common shares of the Company.

This press release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or the securities laws of any state of the United States and may not be offered or sold within the United States (as defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or pursuant to an exemption from such registration requirements.

Delrand is an African-focused mineral explorer with diamond exploration projects in the Democratic Republic of the Congo. The Company also has an iron ore exploration project and other projects are under consideration. Led by an experienced board and management team with a successful track record of exploration and mine development in Africa, the Company works in a systematic and responsible manner to discover, assess and develop mineral resources for the benefit of its shareholders and local stakeholders.

Forward-Looking Information: Statements in this press release announcing the proposed Financing are forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking information is subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things, failure to complete the proposed Financing, the need to satisfy regulatory and legal requirements with respect to the proposed Financing, risks related to the exploration stage of the Company's projects, political developments in the Democratic Republic of the Congo, market fluctuations in prices for securities of exploration stage companies, uncertainties about the availability of additional financing, changes in equity markets, changes in commodity markets, and the other risks involved in the mineral exploration business. Forward-looking information speaks only as of the date on which it is provided and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.

For further information, please visit our website, www.delrand.com.

Contact Information

  • In Toronto: Arnold T. Kondrat
    (416) 366-2221 or 1-800-714-7938

    In Johannesburg and the DRC:
    Brian P. Scallan
    Vice President, Finance
    +27 82 902 6273 or +243 991772978