Verbina Resources Inc.
TSX VENTURE : VUR

April 01, 2011 08:03 ET

Verbina Resources Inc. Announces Non-Brokered Proposed Private Placement

TORONTO, ONTARIO--(Marketwire - April 1, 2011) - Verbina Resources Inc. (TSX VENTURE:VUR) ("Verbina" or the "Company") is pleased to announce a non-brokered private placement to raise up to $5 million through the issuance of 12,500,000 units ("Units") at a price of $0.40 per Unit (the "Offering"), subject to regulatory approval and closing.

Each Unit will consist of one common share (a "Common Share") and one-half (½) of one Common Share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder to acquire one additional Common Share at a price of $0.65 for a period of 15 months from the date of issuance. If the closing sale price of the Company's Common Shares on the TSX Venture Exchange ("TSXV") is greater than $0.85 per Common Share for a period of 20 consecutive trading days at any time following the issuance of the Warrants, the Company may accelerate the expiry date of the Warrants by giving notice to the holders thereof within five (5) trading days of such 20 day period whereupon the Warrants will expire on the 30th calendar day after the date on which such notice is given.

The Company intends to use the net proceeds of the Offering for mineral exploration and working capital purposes. The securities issued pursuant to the Offering will be subject to a four-month and one day statutory hold period. In connection with the Offering, certain eligible finders will receive a cash commission.

About Verbina:

Verbina is a mineral exploration company whose long-term objective is to build a diversified company focused on the acquisition, exploration and development of mineral properties. The Board of Directors of Verbina has approved a new corporate strategy of aggressively exploring for gold in Ghana, West Africa.

CAUTIONARY STATEMENT: This news release contains certain forward-looking statements which are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected. Verbina does not undertake any obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking-statements.

For additional information about Verbina please visit the Company's SEDAR profile at www.sedar.com.

Shares Issued and Outstanding: 14,554,667 

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Verbina Resources Inc.
    Paul Zyla
    President
    (416) 366-4227