Indicator Minerals Inc.
TSX VENTURE : IME

Indicator Minerals Inc.

June 18, 2010 09:00 ET

Indicator Minerals Closes $1,500,000 Private Placement with MineralFields Group

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 18, 2010) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH US NEWSWIRES

Indicator Minerals Inc. ("Indicator" or the "Company") (TSX VENTURE:IME) announced today that it has completed the first tranche of its previously announced non-brokered private placement for aggregate gross proceeds of $1,500,000. The first tranche was placed exclusively with the MineralFields Group.

Indicator issued 10,000,000 flow-through units at a price of $0.15 per flow-through unit. Each flow-through unit is comprised of one flow-through common share and one transferable share purchase warrant of the Company. Each share purchase warrant is exercisable to purchase one common share of the Company at a price of $0.20 per share until June 17, 2012, subject to an acceleration provision in the event the closing price of the Company's shares on the TSX Venture Exchange (the "Exchange") exceeds $0.30 for at least 10 consecutive trading days.

Finder's fees of $90,000 and 700,000 non-transferable finder's options were paid to Limited Market Dealer Inc. Each finder's option is exercisable to purchase one finder's unit at a price of $0.15 per unit until June 17, 2012. Each finder's unit is comprised of one common share and one quarter of one non-transferrable share purchase warrant of the Company, with each whole warrant exercisable to purchase one common share of the Company at a price of $0.20 per share until June 17, 2012. The warrants are subject to an acceleration provision in the event the closing price of the Company's shares on the Exchange exceeds $0.30 for at least 10 consecutive days.

All securities issued or issuable under this tranche of the private placement are subject to a hold period and may not be traded until October 18, 2010 except as permitted by Canadian securities legislation and the Exchange.

Indicator intends to use the proceeds of the private placement to conduct exploration on the Company's properties in Nunavut. Indicator may complete a second tranche of the private placement of non-flow-through units in due course further to its news release dated May 28, 2010.

"We are very pleased to be entering into this relationship with MineralFields Group," said Bruce Counts, President and CEO. "This is an important milestone in the growth of Indicator and we look forward to working with MineralFields Group as we develop our holdings in Nunavut."

About MineralFields, Pathway and First Canadian Securities ®:

MineralFields Group (a division of Pathway Asset Management), based in Toronto, Vancouver, Montreal and Calgary, is a mining fund with significant assets under administration that offers its tax-advantaged super flow-through limited partnerships to investors throughout Canada as well as hard-dollar resource limited partnerships to investors throughout the world. Pathway Asset Management also specializes in the manufacturing and distribution of structured products and mutual funds (including the Pathway Multi Series Funds Inc. corporate-class mutual fund series). Information about MineralFields Group is available at www.mineralfields.com. First Canadian Securities ® (a division of Limited Market Dealer Inc.) is active in leading resource financings (both flow-through and hard dollar PIPE financings) on competitive, effective and service-friendly terms, and offers investment banking, mergers and acquisitions, and mining industry consulting, services to resource companies. MineralFields and Pathway have financed several hundred mining and oil and gas exploration companies to date through First Canadian Securities ®. 

About Indicator Minerals:

Indicator Minerals Inc. is a Canadian exploration company focused on the discovery and development of economic gemstone deposits. Founded in 2004, the Company has assembled one of the most qualified technical teams in worldwide diamond exploration. The Company is exploring more than 2.27 million acres of targeted ground in the Canadian arctic and has three key projects in Nunavut: Grail, Borden and Nanuq North. Management has quickly positioned the Company to be a sophisticated player in both Canadian and international gemstone exploration by forming strategic partnerships, acquiring highly prospective properties and conducting systematic and efficient exploration programs. Indicator is a member of the Discovery Group of Companies. For more information on the group please visit www.discoveryexp.com.

Cautionary Notice: This release may contain forward-looking statements regarding the Company's business or financial condition, including the proposed completion of financings, use of proceeds and exploration programs. Actual results could differ materially from those described in this news release as a result of factors, including, but not limited to the following: the timing and completion of financings, the actual use of proceeds, the timing, results and success of exploration and development programs, financial arrangements, the ability to obtain additional financing, developments in global resource markets, political developments, the timing of regulatory and environmental approvals and other factors. The Company cautions that these and similar statements involve risk and uncertainties, which could cause actual results to differ materially from those in the forward looking statement. Forward–looking statements are made in the context of information available as of the date stated. The Company undertakes no obligations to update or revise such statements to reflect new circumstances or unanticipated events as they occur, unless required by applicable law.

On behalf of the Board

Indicator Minerals Inc.

Bruce Counts, P.Geoph., President & CEO

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

  • Indicator Minerals Inc.
    Bruce Counts
    President & CEO
    (604) 331-4605 or T.F.: 1-877-331-4605
    (604) 331-4654 (FAX)
    www.indicatorminerals.com