Sona Resources Corporation

Sona Resources Corporation

November 09, 2011 12:47 ET

Sona Closes $600,000 Flow-Through Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 9, 2011) - Sona Resources Corp. ("the Company" or "Sona") (TSX VENTURE:SYS)(FRANKFURT:QS7) is pleased to announce that it has closed a non-brokered private placement (the "Private Placement") in the amount of $600,000 with the MineralFields Group.

Pursuant to the Private Placement, the Company issued an aggregate of 857,142 flow-through units (the "Units") of the Company. Each Unit is priced at $0.70 and consists of one flow-through common share and one-half of one transferable warrant (a "Warrant"), with each whole Warrant entitling the holder to purchase one common share of the Company until November 9, 2013 at an exercise price of $0.85 in the first 12 months, and at $1.00 thereafter.

In connection with the private placement, Limited Market Dealer Inc. (the "Finder") has received: (i) an aggregate 34,285 common shares ("Finder's Shares") equal to 4% of the aggregate Units purchased by subscribers introduced by the Finder to the Company at a deemed price of $0.70 per Finder's Share; (ii) an aggregate 68,571 non-transferable finder's warrants ("Finder's Warrants") equal to 8% of the number of Units purchased by subscribers introduced by LMDI to the Company, with each Finder's Warrant being exercisable into a common share of the Company upon the same terms and conditions as the Warrants comprising the Units.

All the securities of Sona issued in the Private Placement are subject to a hold period which under the applicable securities laws and the TSX Venture Exchange policies expires on March 10, 2012.

"We are very pleased to be entering into this relationship with MineralFields Group", said John P. Thompson, President & Chief Executive Officer of Sona. "This is an important milestone in the growth of Sona Resources Corp. and we look forward to working with MineralFields group as we continue to develop our mineral properties in British Columbia."

The net proceeds of the financing will be used to undertake further exploration at the Elizabeth Gold Property and Blackdome Gold Mine. The Private Placement is subject to the final acceptance by TSX Venture Exchange.

About Sona Resources Corp.

Since its inception in 1990, Sona has engaged in exploration activities at its mineral properties in Canada and the United States, as well as small-scale gold production at its flagship property, the 100 percent owned Blackdome Gold Mine, in south-central British Columbia, 250 kilometres north of Vancouver. At Blackdome, the indicated mineral resources are estimated at 144,500 tonnes, grading 11.29g Au/t and containing 52,600 ounces of gold; and the inferred resource is estimated at 90,600 tonnes, grading 8.79g Au/t (news release dated May 4, 2010). At its 100 percent owned Elizabeth Gold Deposit Property, 30 kilometres south of the Blackdome Gold Mine, Sona has outlined an inferred gold resource of 522,900 tonnes, grading 12.3g Au/t and containing 206,100 ounces of gold (news release dated June 8, 2009).

Sona aims to bring its permitted Blackdome mill back into production over the next two years at a rate of 200 tonnes per day, with feed from the formerly producing Blackdome Gold Mine and the Elizabeth Gold Deposit Property. A positive Preliminary Economic Assessment by Micon International Ltd. (news release dated May 28, 2010), based on a gold price of $950 per ounce over eight years, has estimated a cash cost of $208 per tonne milled, or $686 per gold ounce recovered.

Sona also holds a 100 percent interest in the Montgolfier Project, located in Quebec, 40 kilometres east of the multimillion-ounce Casa Berardi Mine gold deposit.

About MineralFields, Pathway and First Canadian Securities ®

MineralFields Group (a division of Pathway Asset Management), based in Toronto, Vancouver, Montreal and Calgary, is a mining fund with significant assets under administration that offers its tax-advantaged super flow-through limited partnerships to investors throughout Canada as well as hard-dollar resource limited partnerships to investors throughout the world. The sector focus is on gold and precious metals, base metals, rare earths and lithium, potash, uranium, oil, coal and gas. Pathway Asset Management also specializes in the manufacturing and distribution of structured products and mutual funds (including the Pathway Multi Series Fund Inc. corporate-class mutual fund series). Information about MineralFields Group is available at First Canadian Securities ® (a division of Limited Market Dealer Inc.) is active in leading resource financings (both flow-through and hard dollar PIPE financings) on competitive, effective and service-friendly terms, and offers investment banking, mergers and acquisitions, and mining industry consulting, services to resource companies. MineralFields and Pathway have financed several hundred mining and oil and gas exploration companies to date through First Canadian Securities ®, and have raised over $1 billion in their 10 year history.

This news release contains certain forward-looking statements, and such statements involve risks and uncertainties. The results or events predicted may differ materially from actual results or events. Any forward-looking statement speaks only as of the date of this news release. Except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or any other occurrence.

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