Kent Exploration Inc.
TSX VENTURE : KEX

Kent Exploration Inc.

November 16, 2010 17:10 ET

Kent Exploration Inc.: 9,000,000 Unit Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 16, 2010) - Kent Exploration Inc. (TSX VENTURE:KEX) (the "Company" or "Kent") announces, subject to regulatory approval, a non-brokered private placement for up to 9,000,000 Units at $0.12 per Unit (the "Units"), for net proceeds of $1,080,000. Units subscribed for under this placement are subject to a four (4) month and one day hold period.

Each Unit will consist of one (1) common share and one (1) non-transferable common share purchase warrant, exercisable for two (2) years from closing at a price of $0.18 for the first year and $0.22 for the second year.

The net proceeds from the sale of the Units are to be used for the Gnaweeda Gold Project in Western Australia, the Company's Alexander River Gold Project in New Zealand, and for general and corporate purposes.

Concurrent with the close of this financing, the Company intends on closing the Archean Star Resources ("Archean") financing, announced in the Company's news release KEX2010-25, and to announce the date of record for the issuance of the share dividend under the previously approved Plan of Arrangement. On completion of the Archean financing and the Plan of Arrangement, the Company will hold approximately 10,000,000 shares of Archean, or approximately 40% of the issued shares of Archean, which the company intends to hold for investment purposes.

Phase II B of the Gnaweeda diamond drill program, to follow up the high grade Bunarra gold prospect discovery as announced in the Company's news releases KEX2010-14 and KEX2010-22, is intended to commence immediately upon closing of the Archean financing.

Up to 1,700,000 of the 9,000,000 Units are to be subscribed for by Graeme O'Neill, President of, and an insider of, the Company.

Finder fees may be payable in accordance with the policies of the TSX Venture Exchange.

Kent Exploration Inc is a junior exploration company that has executed an Option agreement with Teck Australia Pty, Ltd, to earn 100% of Teck's interest in the Gnaweeda Gold Project in West Australia and has acquired the Alexander River, Paparoa and Lyell gold projects in the highly prolific goldfields of West Coast New Zealand.

The Company has an option to earn a 100% interest in the Silver Hills property, a silver/ lead/ zinc prospect in south-eastern British Columbia, and has a 100% interest in the Courtney Lake property, a silver/ lead/ zinc prospect in north-east Saskatchewan. Effective August 28, 2009, the Company terminated the Option Agreement with CanAlaska Uranium on its Reefton Gold Project. The Company has a 100% interest in Coal Prospecting Permits covering approximately 92,000 ha in east-central Saskatchewan, a 100% interest in a mining lease option on the Flagstaff Mountain property, a gold/silver/zinc/barite prospect in eastern Washington state, a 100% interest in the mining lease option on the Ivanhoe Creek property, a Midas-style gold/silver target in Nevada's Carlin Trend, and 50% of a 100% interest in the Ivanhoe Creek placer claims covering a bentonite deposit.

This News Release, which has been prepared on behalf of the Kent Exploration Inc. Board of Directors, which accepts full responsibility for its contents, may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

ON BEHALF OF THE BOARD

"Graeme O'Neill"
Graeme O'Neill, President

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Kent Exploration Inc.
    Graeme O'Neill
    President
    604-684-3394 or Toll free: 1-866-399-6539
    1-888-282-7763 (FAX)
    www.kent-exploration.com