Redhawk Resources, Inc.

Redhawk Resources, Inc.

October 17, 2013 15:46 ET

Redhawk Announces Closing of Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct. 17, 2013) -


Redhawk Resources, Inc. ("Redhawk" or the "Company") (TSX:RDK)(OTCQX:RHWKF)(FRANKFURT:QF7) is pleased to announce that it has completed its previously announced private placement (the "Private Placement") by issuing 10,420,000 common shares ("Shares") of the Company at a price of $0.25 per Share for gross proceeds of $2,605,000.

In connection with the Private Placement, the Company has issued 420,000 finder's warrants (each, a "Finder's Warrant") and has paid a cash finder's fee to Origin Merchant Securities Inc. Each Finder's Warrant entitles the holder to acquire one common share of the Company at an exercise price of $0.35 until October 16, 2015.

Net proceeds of the Private Placement will be used for a new district drilling program at the Company's Copper Creek project, and for working capital. All securities issued pursuant to the Private Placement are subject to a statutory hold period expiring February 17, 2014.

Stephen Barley, Executive Chairman commented: "We are pleased by our institutional support and the loyalty of our long term shareholders. We will move ahead with our Copper Creek project and add additional value for our stakeholders while minimizing dilution. Our efforts with CIBC concerning strategic alternatives will continue concurrently with our drilling program on the Prospect and Dark Canyon expansion targets."

About Redhawk

Redhawk is a Canadian-based resource exploration and development company with primary focus on the accelerated development of its advanced stage Copper Creek copper-molybdenum project in San Manuel, Arizona. The 100% owned Copper Creek property consists of approximately thirty-three square miles of contiguous patented and unpatented mining claims and state prospecting permits, located about 70 miles northeast of Tucson, Arizona and about 15 miles east of San Manuel. The property is in the prolific southwest US porphyry copper belt at the projected intersection of a major northwest belt of porphyry copper deposits or mines (Ray, Miami/Globe, Superior/Resolution, Johnson Camp) and a major east-northeast belt of porphyry deposits (San Manuel/Kalamazoo, Silver Bell, Lakeshore, Safford, Morenci). The property is within sight of the former BHP Kalamazoo/San Manuel copper smelter and mine and within 30 miles of an existing operating copper mill and smelter. The area is a mining friendly and politically secure location with excellent and readily accessible infrastructure including power, rail, water, roads and qualified consultants.


J. Stephen Barley, Executive Chairman

Cautionary Note Regarding Forward Looking Information

Certain statements contained in this press release constitute forward-looking information within the meaning of applicable securities laws. These forward looking statements relate to future events or the Company's future performance, business prospects or opportunities including, without limitation, statements regarding the use of the net proceeds of the Private Placement. The Company believes that the expectations reflected in such forward looking information are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking information should not be unduly relied upon. These statements speak only as of the date of this press release. Forward looking information involves risks and uncertainties which may cause actual results to be materially different from those expressed or implied by such forward looking information. Such risk and uncertainties relate to, among other things: management's discretion to reallocate the net proceeds of the Private Placement. The Company does not intend, and does not assume any obligation, to update any forward-looking information except as required by law.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or any applicable securities laws of any state of the United States and may not be offered or sold in the United States or to the account or benefit of a person in the United States absent an exemption from the registration requirements.

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