Merrex Gold Inc.
TSX VENTURE : MXI

Merrex Gold Inc.

June 01, 2009 08:13 ET

Merrex Closes Oversubscribed Private Placement

HALIFAX, NOVA SCOTIA--(Marketwire - June 1, 2009) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRE SERVICES

Gregory Isenor, P.Geo., President and CEO of Merrex Gold Inc. ("Merrex")(TSX VENTURE:MXI) announces that Merrex has closed the final tranche of the private placement announced April 27, 2009.

Initially announced April 27, 2009, the maximum offering of 7,500,000 Units was increased to 8,474,300 Units due to investor demand.

"In a difficult market environment Merrex set out to raise $1,500,000 and our placement ended up oversubscribed at $1,694,860," said Gregory Isenor, President and CEO of Merrex Gold. "I think this speaks volumes for the quality of our Siribaya Gold Project and the faith our investors have in it. We thank all of our private placement subscribers for their support."

Merrex closed the second and final tranche of 5,704,300 units at a price of $0.20 per unit (the "Unit") to net $1,113,665 to treasury after paying finders' fees of $27,195. The Units consist of one share and one share purchase warrant exercisable at $0.30 per share until May 28, 2010. The shares are subject to a four-month hold period expiring September 29, 2009. On April 29, 2009 the first tranche of 2,770,000 units was closed netting $516,620 to treasury.

Merrex's principal projects are its Siribaya Gold Project in Mali (West Africa), an advanced exploration project with an initial NI 43-101 resource estimate and the Jubilee Zinc Deposit in Cape Breton, Nova Scotia, also with a NI 43-101 resource estimate.

Merrex Gold is a mineral resource exploration company focusing on gold exploration in West Mali, western Turkey and in the Red Lake area of Ontario and zinc exploration in Cape Breton, Nova Scotia. Merrex has a solid organization of people and projects enabling aggressive exploration, discovery and growth.

Please visit our website at www.merrexgold.com for the most recent presentation.

This press release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future exploration drilling, exploration activities and events or developments that the Company expects, are forward looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions.

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 of the adequacy or accuracy of this release.

Contact Information

  • Merrex Gold Inc.
    Greg Isenor
    President & CEO
    (902) 832-5555