Gwynneth Gold Limited

March 23, 2011 11:15 ET

Gwynneth Gold Limited Acquires Securities of MBMI Resources Inc. in Private Placement

TORONTO, ONTARIO--(Marketwire - March 23, 2011) - Gwynneth Gold Limited ("Gwynneth"), a subsidiary of Harmony Asset Limited (TSX:HAR)(HKEX:428), announces that following the closing of a private placement of common share units (the "Units") by MBMI Resources Inc. (TSX VENTURE:MBR) ("MBMI") Gwynneth has become an "insider" of MBMI as it now holds approximately 12.7% of the common shares of MBMI ("MBMI Shares") currently outstanding. Each Unit was purchased at a price of C$0.18 per Unit and is comprised of one MBMI Share and one warrant (a "Warrant"), each Warrant is exercisable to purchase one MBMI Share at a price of $0.25 per MBMI Share for a period of 12 months following issuance.

Gwynneth acquired ownership and control over 6,946,134 Units in the private placement for investment purposes. The MBMI Shares acquired by Gwynneth in the private placement represent approximately 3.8% of the outstanding MBMI Shares. Following the acquisition, Gwynneth owns and controls an aggregate of 23,135,808 MBMI Shares, representing approximately 12.7% of the issued and outstanding MBMI Shares, and 6,946,134 Warrants. Gwynneth may in the future acquire ownership of, or control over, additional securities of MBMI. The number of securities to be acquired and the timing of the acquisition is not currently known.

Additional details of this transaction are contained in the Early Warning Report filed on SEDAR concurrently with this announcement. A copy of the Early Warning Report can be obtained by submitting a request to Gwynneth to the attention of Vincent Cheng, Director, using the contact information below.

This news release may contain forward-looking information including but not limited to comments regarding the timing and content of upcoming financings, work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking information includes disclosure regarding possible future events, or conditions or results of operations that is based on assumptions about future economic conditions and courses of action, and therefore, involves inherent risks and uncertainties. Although management has a reasonable basis for the conclusions drawn, actual results may differ materially from those currently anticipated in such statements.

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.

Contact Information

  • Gwynneth Gold Limited
    Vincent Cheng
    Director
    (852) 2545 6883
    (852) 2544 9833 (FAX)