VANCOUVER, April 14, 2016
/CNW/ - Red Eagle Mining Corporation (TSX-V: RD, OTCQX:
RDEMF, SSE-V: RDCL) is pleased to announce a private placement
for gross proceeds of $11,281,476,
consisting of 29,688,095 common shares (the "Shares") at a
price of $0.38 per Share (the
"Financing"). Liberty Metals & Mining Holdings,
LLC ("LMM"), a subsidiary of Boston based Liberty Mutual Insurance, elected
to exercise its participation right and will purchase 9,500,000
Shares which will result in LMM's ownership interest in Red Eagle
Mining increasing from 18.0% to 19.9%.
Proceeds will be used for exploration drilling of the Santa Rosa
Gold Project and to fund CB Gold Inc.'s 2016 work programme at the
Vetas Gold Project. The Financing was priced at market on the
date the Financing was agreed. The Shares are subject to a
four month hold period from the date of issuance.
About Red Eagle Mining
Red Eagle Mining is a well-financed gold exploration and
development corporation with an experienced mine development
team. Management is focused on building shareholder value
through discovering and developing gold projects with low costs and
low technical risks in Colombia, a
jurisdiction with prolific historic production but until recently
limited modern exploration. Red Eagle Mining owns 68% of the
Vetas Gold Project and 100% of the Santa Rosa Gold Project, where
construction is underway at the fully permitted and fully financed
San Ramon Gold Mine with production expected to commence in the
second half of 2016.
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. This news release includes
forward-looking statements that are subject to risks and
uncertainties. All statements within, other than statements
of historical fact, are to be considered forward looking.
Although the Company believes the expectations expressed in
such forward-looking statements are based on reasonable
assumptions, such statements are not guarantees of future
performance and actual results or developments may differ
materially from those in forward-looking statements. Factors
that could cause actual results to differ materially from those in
forward-looking statements include market prices, exploitation and
exploration successes, continued availability of capital and
financing, and general economic, market or business conditions.
There can be no assurances that such statements will prove
accurate and, therefore, readers are advised to rely on their own
evaluation of such uncertainties. We do not assume any
obligation to update any forward-looking statements. This news
release does not constitute an offer to sell or a solicitation of
an offer to sell any securities in the United States. The
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.
SOURCE Red Eagle Mining Corporation