St. Eugene Mining Corporation Ltd.

St. Eugene Mining Corporation Ltd.

October 21, 2010 12:32 ET

St. Eugene Mining Corporation Announces Private Placement

TORONTO, ONTARIO--(Marketwire - Oct. 21, 2010) - St. Eugene Mining Corporation Ltd. (TSX VENTURE:SEM) ("St. Eugene" or the "Company") announces a non-brokered private placement offering, to one institutional subscriber, of 6,500,000 common shares of the Company at a price of $0.10 per Share for gross proceeds of $650,000.

The proceeds shall be allocated to the Company's Canadian projects, namely, activities associated with re-commissioning the Tartan Lake Gold Mine, as well as a follow up drill program at the Amisk Lake Gold property near Flin Flon, Manitoba.

A finders fee equal to 7% of the gross proceeds raised ($45,500), in addition to the issuance of 455,000 Compensation Warrants shall be paid in connection with the offering. Each Compensation Warrant shall entitle the finder to acquire one additional common share of the Company at a price of $0.10 for a period of 12 months.

The Offering will be made in reliance upon applicable exemptions from registration and prospectus requirements. The closing of the private placement is subject to the receipt of all required regulatory approvals, including the approval of the TSX Venture Exchange. All securities issued pursuant to the offering shall be subject to a hold period of four months from the date of closing. 

Additionally, the Company has granted an aggregate 3,000,000 incentive stock options to officers, directors and consultants exerciseable at a price of $0.11 per share for a period of five years.

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

  • St. Eugene Mining Corporation Ltd.
    Jennifer L. Boyle, B.A., LL.B.
    Chief Executive Officer
    647-430-0966 (work) or 416-904-2714 (cell)
    St. Eugene Mining Corporation Ltd.
    Kevin Weston
    604-365-4477 (cell)