Quadra Mining Ltd.
TSX : QUA

Quadra Mining Ltd.

May 14, 2008 08:07 ET

Quadra Mining Ltd. Announces CDN$175 Million Bought Deal of Common Shares

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 14, 2008) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

Quadra Mining Ltd. (TSX:QUA) ("Company" or "Quadra") announced today that it has entered into a bought deal agreement with a syndicate of underwriters led by Macquarie Capital Markets Canada Ltd. and including Raymond James Ltd., BMO Capital Markets, Cormark Securities Inc., and GMP Securities L.P. Under the agreement, the syndicate will purchase 7,145,000 common shares ("Common Shares") of the Company at a price of CDN$24.50 per Common Share (the "Offering Price") for gross proceeds of CDN$175,052,500. The Company will grant the Underwriters an over-allotment option, to purchase up to an additional 1,071,750 Common Shares (CDN$26,257,875), exercisable at the Offering Price, at any time up to 5:00 pm (Toronto time) on the day which is 30 days following the Closing Date.

The Company expects to file a Preliminary Short Form Prospectus with the applicable securities regulatory authorities to qualify the Common Shares for distribution on May 21, 2008.

The net proceeds are intended to be used for repayment of the Company's outstanding debt, exploration and development at Sierra Gorda, potential acquisitions, and for general working capital and corporate purposes.

The transaction is subject to the receipt of all necessary regulatory and stock exchange approvals. The offering is expected to close on or about June 5, 2008 (the "Closing Date").

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.

About Quadra Mining Ltd. (TSX:QUA)

Quadra is a Vancouver, British Columbia based copper producing company whose principal asset is the Robinson Mine in Nevada. The Company has a goal of becoming a mid-tier base metals development and operating company with interests in a number of advanced exploration, development and producing properties.

ON BEHALF OF

QUADRA MINING LTD.

Paul Blythe, President and Chief Executive Officer

This Press Release may contain "forward-looking information" that is based on Quadra's expectations, estimates and projections as of the dates as of which those statements were made. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause Quadra's actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information and a discussion of these and other factors that may affect Quadra's actual results, performance, achievements or financial position is contained in the filings by Quadra with the Canadian provincial securities regulatory authorities, including Quadra's AIF. Quadra disclaims any intent or obligations to update or revise publicly any forward-looking statements whether as a result of new information, estimates or options, future events or results or otherwise.

Contact Information

  • Media and Investor Relations Contact:
    Quadra Mining Ltd.
    Sophie Taylor, Manager, Investor Relations
    (604) 689-8550, Ext. 110
    Email: sophietaylor@quadramining.com
    or
    Quadra Mining Ltd.
    Paul Blythe
    President and Chief Executive Officer
    (705) 444-1316
    Website: www.quadramining.com