VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 2, 2012) - Geologix Explorations Inc. (FRANKFURT:GF6)(TSX:GIX)(BERLIN:GF6)(MUN:GF6)(STUT:GF6)(OTCQX:GIXEF)
("Geologix" and the "Company") is pleased to announce that its $2,000,000 unit private placement announced June 28, 2012 was oversubscribed and a total of $2,502,000 was raised.
Geologix issued 12,510,000 units at $0.20 per unit. Each unit consisted of one common share and one-half of a transferable warrant, each whole warrant entitling the holder to purchase another common share for $0.30 until August 5, 2014. If, after the four month hold period expires on December 2, 2012, the daily volume weighted average trading price of its shares on the Toronto Stock Exchange is greater than $0.60 for any 20 consecutive trading days, Geologix may, within five trading days thereof, give notice that the warrants will expire 30 trading days after such notice.
Eligible finders were paid fees totalling $77,580 (6%) and issued 387,900 compensation warrants (6% of the number of units purchased by investors introduced by them), exercisable on the same terms as the warrants contained in the units.
Geologix will use the net proceeds for continued exploration of multiple new target areas defined in the Company's news release dated June 13, 2012, as well as ongoing development of the Tepal Gold-Copper Porphyry Project in Michoacán State, Mexico, and for general working capital.
Geologix Explorations Inc. is a mineral exploration company focused on acquiring, exploring and developing mineral resource opportunities with the potential to host world class mineral deposits. The Company's primary focus is the Tepal Gold-Copper Porphyry Project in Michoacán State, Mexico, where the Company recently completed an upgraded resource estimation, which will be the basis of an upcoming pre-feasibility study expected to be completed in 2012. Field programs at Tepal are ongoing as the Company continues to explore for additional mineralization throughout the property, in an effort to expand the size of the resource and scale of a possible future mining operation.
The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.