SOURCE: Highbank Resources Ltd.

Highbank Resources Ltd.

July 18, 2014 16:33 ET

Highbank Is Proceeding to Close the 2nd Tranche of $1.3 Million Convertible Debenture Financing

VANCOUVER, BC--(Marketwired - July 18, 2014) - Highbank Resources Ltd. (TSX VENTURE: HBK) (FRANKFURT: V7O) (the "Company") -- Mr. Gary Musil, CFO, is pleased to announce that the Company is proceeding with the closing of the 2nd tranche of $1.3 million of our total $4 million convertible debenture financing, and have expressions of interest for an additional $500,000. The Company closed the 1st tranche of $2.7 million on April 15/14.

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; and are subject to regulatory approval.

The Company is paying cash finder's fees equal to 7-1/2% on the gross proceeds raised; also subject to regulatory approval.

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. The press release does not constitute an offer to sell, nor is it 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.


"Gary Musil"

Gary Musil

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.
    #600 - 625 Howe Street,
    Vancouver, B.C. V6C 2T6 
    Ph: (604) 683-6648 
    Fax: (604) 683-1350