Verena Minerals Corporation

Verena Minerals Corporation

January 27, 2006 16:30 ET

Verena Minerals Corporation: Proposed Private Placement

TORONTO, ONTARIO--(CCNMatthews - Jan. 27, 2006) - Verena Minerals Corporation ("Company") (TSX VENTURE:VML) announces that it has agreed to the terms of a proposed private placement of up to 12,500,000 units at $0.20 a unit for gross proceeds of $2,500,000 to the Company. The Company has agreed to grant an over allotment option for a further up to 1,250,000 units, for further gross proceeds of $250,000. Each unit is comprised of one common share and 1/2 of one share purchase warrant, each whole warrant being exercisable for an additional share at an exercise price of $0.35 for one year from closing. This proposed placement is to be brokered by Dominick & Dominick Securities Inc. Subject to and pending all required regulatory approvals, a commission of 7% in cash and broker warrants to acquire units equal to 10% of the units placed at an exercise price of $0.20 per unit for one year from closing will be payable to the agent on the proposed placement. This proposed placement is subject to TSX Venture Exchange approval.

Verena Minerals Corporation is focused on the exploration and development of gold projects in Brazil. Through its wholly-owned Brazilian subsidiaries, the Company controls over 100,000 hectares of prospective exploration concessions covering major mineralized belts in Goias, Minas Gerais, Rio Grande do Norte, Para and Tocantins states. Verena has approximately 59.3 million shares outstanding, and is listed on the TSX Venture Exchange under the symbol VML.

Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.

Contact Information

  • Verena Minerals Corporation
    Stephen Shefsky
    President and CEO
    (416) 924-4337
    (416) 368-5146 (FAX)