Solomon Resources Limited
TSX VENTURE : SRB

Solomon Resources Limited

September 20, 2011 09:30 ET

Solomon to Raise up to $250,000 in Flow-Through and $100,000 in Non-Flow-Through Unit Private Placements

VERNON, BRITISH COLUMBIA--(Marketwire - Sept. 20, 2011) - Solomon Resources Limited (TSX VENTURE:SRB) proposes to raise up to $250,000 through a private placement of up to 1,785,714 flow-through units at $0.14 per unit and up to $100,000 through a private placement of up to 769,230 non-flow-through units at $0.13 per unit.

Each unit will consist of one common share and one non-transferable share purchase warrant to purchase a further (non-flow-through) common share for $0.22 in the first year and $0.30 in the second year. The expiry date of the warrants may be reduced to 25 trading days from notice thereof if the closing price of the common shares equals or exceeds $0.35 for 20 consecutive trading days after the expiry of the four month restricted resale period.

Finders' fees of 8% will be paid on funds raised from investors introduced by finders. Solomon will also issue warrants to such finders to purchase that number of (non-flow through) common shares equal to 8% of the number of units sold to investors introduced by the finders. The finder warrants will be exercisable for two years at $0.20 per share in the first year and for $0.25 per share in the second and will be subject to the accelerated expiry provision of the warrants contained in the units.

The proceeds of this placement will be used for the exploration of Solomon's interests in the Yukon Territory, claim staking, and general corporate overheads.

About Solomon Resources Ltd.:

Solomon Resources Ltd. is a Canadian public company focused on the acquisition, exploration and development of quality mineral properties worldwide. Solomon is managed by a proven team of exploration geologists involved with the discovery and development of a number of significant mineral deposits including the Snip and Eskay Creek deposits in British Columbia and the Brewery Creek deposit in the Yukon Territory.

Solomon's business model is that of a Project Generator. To build shareholder value, the Company intends to acquire highly prospective mineral tenures in stable jurisdictions with the objective of adding value through grassroots exploration and target refinement and then seeking option or joint venture partners through to production.

The Project Generator model is particularly suited to the Company's ongoing interest in the Yukon Territory where we have a wealth of intellectual capital and experience.

For additional information visit Solomon's website at www.solomonresources.ca.

Randy Rogers, President and CEO

Solomon Resources Limited

Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Solomon Resources Limited
    Randy Rogers
    President and CEO
    778-475-5551 or 1-866-831-6666
    778-475-5541 (FAX)
    www.solomonresources.ca