Module Resources Incorporated

Module Resources Incorporated

August 23, 2011 11:33 ET

Module Resources Inc. Announces Convertible Debt Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 23, 2011) -


Module Resources Inc. (TSX VENTURE:MLE) is pleased to announce that, subject to regulatory approval, it has arranged a non-brokered secured convertible debt financing of $200,000. Pursuant to the financing the Company will issue a debenture in the principal amount of $200,000 pursuant to which the debt will be convertible into units of the Company for a period of two years from the closing date.

The debt is convertible into units consisting of one common share and one share purchase warrant at a price of $0.10 per unit for the first year and $0.15 for the second year. The debenture will bear no interest. Each warrant is exercisable to purchase one common share for a period of two years from the closing date on payment of $0.10 in the first year and $0.15 in the second year. Pursuant to the issuance of convertible debenture the lender will also be issued 400,000 common shares. A finder's fee of 10% will be paid in connection with the total financing.

Proceeds from the financing will be used primarily to gain full control of the environmental bond that forms part mine permits noted in the Purchase and Sale Agreement recently concluded with Century Mining. The Company will also engage strategic consulting support, continue work bringing historical estimates to current compliance, establish a comprehensive investor and public relations program and focus on exploration and development. Details with respect to exploration, development, investor relations plan, third party support plans and other initiatives will be provided in forthcoming announcements.

About Module Resources Inc.

Module is a Canadian-based junior mineral exploration and development company engaged in the acquisition, exploration, evaluation and development of mineral properties, collectively known as the Ladner Gold Property, located along the prospective and under-explored Coquihalla Gold Belt, which is host to several historic small gold producers including the Carolin Mine, Emancipation Mine, Pipestem Mine and numerous gold prospects.

For further company and technical information, please visit the Company's website at


Bruce W. Downing, M.Sc., PGeo., Hon.FEC, President & Chief Executive Officer

We seek Safe Harbor.

Caution concerning forward-looking information

This news release may contain forward-looking statements that are based on the Company's expectations, estimates and projections regarding its business and the economic environment in which it operates. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. Therefore, actual outcomes and results may differ materially from those expressed in these forward-looking statements and readers should not place undue reliance on such statements. Statements speak only as of the date on which they are made, and the Company undertakes no obligation to update them publicly to reflect new information or the occurrence of future events or circumstances, unless otherwise required to do so by law.

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 the accuracy of this press release.

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