Mazorro Resources Inc.

Mazorro Resources Inc.

April 03, 2009 16:00 ET

Mazorro Closes Second Tranche of Private Placement Offering and Amends Cimarron Property Agreements

OTTAWA, ONTARIO--(Marketwire - April 3, 2009) - Mazorro Resources Inc. ("Mazorro" or the "Company") (TSX VENTURE:MZO)(FRANKFURT:JAM) announces the closing of a second tranche of a non-brokered private placement offering (the "Offering") for gross proceeds of $45,000. As previously announced on March 18, 2009, the first tranche of the Offering raised proceeds of $105,000. Total proceeds from the Offering are $150,000.

In total, for both tranches, the Offering consisted of the issuance of 3,000,000 units (the "Units") at a price of $0.05 per Unit. Each Unit consists of one common share of the Company and one common share purchase warrant exercisable for two years. Each warrant entitles the holder to acquire one additional common share of the Company at a price of $0.07 for a period of one year following the closing of the Offering and at $0.10 for the second year following the closing of the Offering.

The funds raised pursuant to the Offering will be used to fund the Company's general working capital requirements. A director of the Company participated in the first tranche of the private placement subscribing for 200,000 Units for $10,000.

All securities issued in the Offering will be subject to a four month hold period from the closing dates of the Offering. Completion of this private placement is subject to final acceptance of the TSX Venture Exchange.

Mazorro also announces that it has entered into amendments to the Cimarron property agreements effective March 25, 2009. These amendments extend the date by which Mazorro is required to reimburse Oro Gold Resources Ltd. ("Oro Gold") for the Camargo Payment to May 31, 2009.

Under the terms of the Cimarron agreements, Mazorro was obligated to reimburse Oro Gold for the Camargo Payment by providing US $287,500, payable in cash or common shares of Mazorro (or any combination thereof), by December 1, 2008 and later by March 31, 2009. Under the terms of the amended agreements, Mazorro is now obligated to provide US $312,500 by May 31, 2009. This payment continues to be payable in cash or shares of Mazorro. As partial consideration, Mazorro has agreed to issue to Oro Gold 200,000 common shares of Mazorro, subject to approval of the TSX Venture Exchange.

Mazorro Resources has approximately 15.5 million shares outstanding and is a tightly held junior mining exploration company targeting gold, copper and silver deposits in the western Mexican state of Sinaloa, around the port city of Mazatlan. Mazorro is focussing on a region offering social and political stability in a country offering a favourable investment climate to foreign investors.

Some statements in this release may contain forward-looking information. These statements include, but are not limited to, statements with respect to future exploration, development and production activities and future expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the time and success of future exploration, development and production activities and the timing and amount of expenditures.

Neither the TSX Venture Exchange or 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

  • Mazorro Resources Inc.
    Andre Audet
    Interim President & CEO