Highbank Resources Ltd.
TSX VENTURE : HBK
FRANKFURT : V7O

Highbank Resources Ltd.

April 17, 2014 09:00 ET

Highbank Closes 1st Tranche of $4.0 Million Convertible Debenture Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 17, 2014) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Highbank Resources Ltd. (TSX VENTURE:HBK)(FRANKFURT:V7O), (the "Company"), is pleased to announce the closing of the first tranche of $2.7 million of our total $4 million convertible debenture financing.

The convertible debentures bear interest at the rate of 10% per annum and have a term of three years from the date of issuance for repayment by the Company from revenues earned through the sale of aggregate from the Swamp Point North aggregate project. The debentures are convertible into shares of the Company at a price of $0.45 during the first year, $0.35 during the second year, and at a price of $0.25 in the third year.

The Company is paying cash finder's fees equal to 7-1/2% on a portion of the gross proceeds raised from the convertible debentures or $150,000.

The funds raised shall be used for continued development of the Swamp Point North aggregate project, purchase of rolling and plant equipment, conveyors, site clearing, camp rehabilitation, development of the barge load-out facility, and working capital.

The Securities have not been, nor will they be, registered under the United States Securities Act of 1933, as amended (the "1933 Act"), and may not be offered, sold or delivered, directly or indirectly, within the United States, or to or for the account or benefit of U.S. persons unless the Securities Units are registered under the 1933 Act or pursuant to an applicable exemption from the registration requirements of the 1933 Act. This press release does not constitute an offer to sell, nor it is a solicitation of an offer of securities, nor shall there be any sale of securities in any state of the United States in which such offer, solicitation or sale would be unlawful.

On behalf of the Board of Directors of HIGHBANK RESOURCES LTD.

Gary Musil, CFO/Director

This News Release may contain forward-looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of exploration and other risk factors beyond its control, and actual results may differ materially from the expected results.

Neither 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

  • Highbank Resources Ltd.
    Gary Musil
    CFO/Director
    (604) 683-6648
    (604) 683-1350 (FAX)