Northquest Ltd.
TSX VENTURE : NQ

Northquest Ltd.

December 15, 2010 17:39 ET

Northquest Ltd. Announces Private Placement Financing

TORONTO, ONTARIO--(Marketwire - Dec. 15, 2010) -

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE U.S.

Northquest Ltd. (TSX VENTURE:NQ) ("Northquest") is pleased to announce that it proposes to complete a non-brokered private placement pursuant to which it will issue up to 1,428,571 units ("Units") at a price of $0.70 per Unit to raise aggregate gross proceeds of up to approximately $1,000,000. Each Unit will consist of one common share of Northquest and one-half of one share purchase warrant, each whole such share purchase warrant entitling the holder thereof to acquire one additional common share of Northquest for a period of 24 months at an exercise price of $1.00 per share. Insiders of Northquest may subscribe for up to 25% of the private placement. A cash commission of up to 6% of the gross proceeds will be paid to eligible finders. In addition, eligible finders will receive broker warrants entitling them to acquire that number of common shares of Northquest that is equal to 6% of the number of Units they sell in the private placement at a price of $0.70 per share for a period of 24 months.

The private placement remains subject to the approval of the TSX Venture Exchange. 

Forward Looking Statements – Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of Northquest, including, but not limited to the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, dependence upon regulatory approvals, and the availability of financing. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

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 ACCURACY OF THIS RELEASE.

Contact Information

  • Northquest Ltd.
    Jon North
    President and Chief Executive Officer
    (416) 786-6348