Jalna Minerals Ltd.
TSX VENTURE : JMA.H

Jalna Minerals Ltd.

September 27, 2010 09:57 ET

Jalna Shareholders Approve Merger With Papuan Precious Metals Corp.

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 27, 2010) - JALNA MINERALS LTD. (TSX VENTURE:JMA.H) ("Jalna") is pleased to announce that shareholders approved the merger with Papuan Precious Metals Corp. at the Annual and Special Meeting held on September 15, 2010.

In addition to the first tranche of the financing announced in its news release dated June 1, 2010, which raised gross proceeds of $6,735,601, Jalna intends to complete a second tranche of the financing in an amount of up to $1,000,000 by issuing an additional 3,333,333 Units at $.30 per Unit. Each Unit consists of a post (four for one) consolidated share and warrant to purchase an additional post consolidated share for 3 years at $0.40 per share. A cash finder's fee of 7% and compensation warrants of 7% will be paid to finders in accordance with Exchange policies.

The net proceeds raised by way of this private placement will be used to carry out exploration and development on the PPM properties and for general working capital.

The merger is expected to complete within 10 days at which time trading will resume under the new name of Papuan Precious Metals Corp.

At the meeting, Shareholders approved the Company's 10% rolling stock option plan and the Company will grant officers, directors and employees stock options to purchase up to 5,000,000 shares at $.30 per share for three years. The options will be subject to vesting provisions in accordance with the policies of the Exchange and the options will vest as to 25% after each 6 month period.

ON BEHALF OF THE BOARD

Devinder Randhawa, President

The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.

Contact Information

  • Jalna Minerals Ltd.
    Devinder Randhawa
    President
    250-868-8177
    250-868-8493 (FAX)