Strategic Metals Ltd.
TSX VENTURE : SMD

Strategic Metals Ltd.

August 09, 2011 17:30 ET

Strategic Metals Ltd. Announces Completion of Plan of Arrangement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 9, 2011) -

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

Strategic Metals Ltd. (TSX VENTURE:SMD) ("Strategic") announces, further to its July 19, 2011 News Release, that it has completed its Plan of Arrangement (the "Arrangement") to spin-out certain of its assets into Silver Range Resources Ltd. ("Silver Range"), as approved by Strategic's shareholders at its Special General Meeting held on July 15, 2011, and as approved by a final Order of the Supreme Court of British Columbia on July 18, 2011.

Under the Arrangement, Strategic will distribute to its own shareholders of record as of July 27, 2011 a total of 30,003,950 common shares of Silver Range and 15,001,975 Silver Range share purchase warrants, each of which will entitle the holder to purchase one additional Silver Range common share at a price of $0.85 (Cdn.) until February 10, 2013. Strategic continues to hold 6,947,951 Silver Range common shares and 3,473,975 Silver Range share purchase warrants for investment purposes, representing 18.80% of each of the 36,951,901 Silver Range common shares and 18,475,950 Silver Range share purchase warrants currently outstanding.

Strategic has also been advised by the TSX Venture Exchange that, effective at the opening on August 10, 2011, the Silver Range common shares and Silver Range share purchase warrants will commence trading under the symbols "SNG" and SNG.WT", respectively.

ON BEHALF OF THE BOARD

W. Douglas Eaton, President and Chief Executive Officer

For further information concerning Strategic or its various exploration projects please visit our website at www.strategicmetalsltd.com.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities of the Company in the United States. The Company's securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available. Investors are cautioned that, except as disclosed in Strategic's Management Information Circular, any information released or received with respect to the Arrangement may not be accurate or complete and should not be relied upon.

This news release may contain forward looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of exploration and other risk factors beyond its control, and actual results may differ materially from the expected results.

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

  • Strategic Metals Ltd. - Corporate Information
    W. Douglas Eaton
    President and C.E.O.
    (604) 688-2568

    Strategic Metals Ltd. - Corporate Information
    Bruce A. Youngman
    Chairman
    (604) 687-2522

    Strategic Metals Ltd. - Investor Inquiries
    Richard Drechsler
    Corporate Communications
    (604) 687-2522 or NA Toll-Free: (888) 688-2522
    rdrechsler@strategicmetalsltd.com
    www.strategicmetalsltd.com