TSX: SRZ
(Cmn Shs)
SRZ.NT (Notes)
SRZ.NT.A (Notes)
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Suite 401, One University Avenue
Toronto, Ontario
M5J 2P1
(416) 861-0430
www.sra-corporation.com
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PRESS RELEASE
SRA Announces Closing of Unit Offering
Toronto, Ontario. May 8,
2008 - Strategic Resource Acquisition Corporation ("SRA" or the
"Company") today announced that it has closed the previously
announced offering of units (“Units”) via short-form prospectus.
A total
of 6,484,000 Units were subscribed for at a price of $2.00 per Unit, for total
gross proceeds of $12,968,000. Each Unit is comprised of one common share
and one half of one common share purchase warrant, each whole warrant exercisable
into one common share at a price of $2.50 per share for 18 months. The
Unit offering was co-led by agents Blackmont Capital
Inc. and Haywood Securities Inc. (the “Agents”). The
Company granted the Agents an over-allotment option exercisable for 30 days
after closing to acquire up to an additional 15% of the common shares and
warrants issued at closing.
Proceeds of the placement will be used for the ramp-up of the Gordonsville
mine, rehabilitation of the Cumberland
and Elmwood mines and for general corporate purposes.
This press release is not an offer of securities for sale in the United States.
The securities have not been and will not be registered under the U.S.
Securities Act of 1933, as amended (the "U.S. Securities Act") or any
state securities laws and may not be offered or sold in the United States or
to, or for the account or benefit of, any "U.S. Persons" (as defined
in Regulation S under the U.S. Securities Act) absent registration or an
applicable exemption from the registration requirements under the U.S.
Securities Act and applicable state securities laws.
About SRA
SRA
Corporation is focused on the development of the Mid-Tennessee zinc mining
complex (MTM) in the State of Tennessee.
The MTM is located approximately 50 miles east of Nashville with excellent infrastructure
including roads, water, power, major airport and access to a well-trained
workforce. MTM will produce one of the highest quality zinc concentrates in the
world and efforts are underway to establish recovery methods for the valuable
germanium and gallium contained in the concentrate.
Once in full production, the
Gordonsville Complex at MTM is expected to be the largest zinc producer and
domestic source of germanium and gallium in the continental USA.
The
Company also plans to explore and develop additional properties and redeploy
cash flow to pursue a strategy of accretive acquisitions.
Cautionary Statement on
Forward-Looking Information
This news release contains "forward-looking information" which may
include, but is not limited to, statements with respect to the future financial
or operating performance of the Company and its projects, the future price of
zinc or other metal prices, the estimation of mineral resources and realization
of mineral resource estimates, the timing and amount of estimated future
production, costs of production, capital, operating and exploration
expenditures, costs and timing of the development of new deposits and future
exploration, requirements for additional capital, government regulation of
mining operations, environmental risks, reclamation expenses, title disputes or
claims, limitations of insurance coverage and the timing and possible outcome
of regulatory matters. These statements reflect management's current beliefs and are based on information
currently available. Forward-looking statements involve significant risks,
uncertainties and assumptions and other factors that may cause the actual
results, performance or achievements of the Company to be materially different
from any future results, performance or achievements expressed or implied by
the forward-looking statements. A number of factors could cause actual results
to differ materially from the results discussed in the forward-looking
statements, including those listed in the ''Risk Factors'' section of the Company's
prospectus on file with Canadian provincial securities regulatory authorities.
For further
information, please email info@sra-corporation.com or contact:
Victor P. Wyprysky
Ian M. MacNeily
President
and Chief Executive Officer
Executive VP and Chief Financial Officer
Tel: (416) 861-0430 ext.
1833
Tel: (416) 861-0430 ext. 1422
Email:
victor.wyprysky@sra-corporation.com
Email:
ian.macneily@sra-corporation.com
Donna Yoshimatsu
VP Investor Relations &
Communications
Tel: (416) 861-0430 ext. 1003
Email: donna.yoshimatsu@sra-corporation.com