Alexandria
to Raise $5,500,000; Second Rig Expands Drilling Program Along Cadillac Break
THIS PRESS RELEASE IS NOT
FOR DISTRIBUTION IN THE UNITED STATES OR TO U.S. NEWS AGENCIES
Toronto, Ontario - April 18, 2007-
Alexandria Minerals Corporation (TSX-V:AZX) announces a brokered private placement (BPP) with Fraser Mackenzie Limited, for up to 6,250,000 non flow
through units (NFT) at a price of $0.32 per unit and up to 5,263,157 flow
through units at a price of $0.38, and a non-brokered private placement (NBPP)
with MineralFields Group of Toronto, for up to 3,947,368 flow-through units at a
price of $0.38 per unit, resulting in gross proceeds of up to $5,500,000.
Each non-flow through unit will be
comprised of one non-flow-through common share of the Company and one-half of
one warrant, with each whole warrant entitling the holder to acquire one additional non-flow-through common share of the Company at a price of $0.48 for
a period of one year from closing.
Each flow-through unit shall be
comprised of one flow-through common share and one-half of one warrant, with
each whole warrant entitling the holder to acquire one additional non-flow
through common share of the Company at a price of $0.48 for a period of one year
from closing.
The proceeds from the private
placement will be used for exploration activities on its Ontario and Quebec
mineral properties and for general working capital. Exploration will consist
primarily of drilling-related activities, with focus on the Company's Cadillac
Break properties in the Val d'Or area, Quebec. Alexandria plans an initial
10,000 m Phase 1 program to expand on the recent success in the Orenada #4 area,
where the company intersected 21.37 g/t gold over 4.05 m (announced March 29,
2007), to be followed by a further 10,000 m program pending
results.
Currently,
the company has two drill rigs operating on its properties along the Cadillac
Break in Quebec (Figure 1). The company has begun drilling on the Sleepy Zone,
the second of four historic gold deposits on the Company's Cadillac Break
properties, southeast of Val d'Or, which Cambior Inc. (now IAMGOLD Corporation)
discovered in the late 1980's (see Press Release April 10, 2007).
FIGURE
1. Current drilling locations and Alexandria properties from Val d'Or to Noranda, Quebec.
The
Company has also begun drilling on its Joannes Property, located about 50 km
west of Val d'Or along the Cadillac Break. Historic drill holes on the property
have yielded up to 28.5 g/t gold over 1.5m and 12.00 g/t gold over 1.5m. Alexandria has completed geophysical surveys on the property to augment the
drill targets, and plans to drill 3 first phase holes testing targets along the
Cadillac Break and satellite fault zones.
The
Joannes property is located in a region of the Cadillac Break that has seen
considerable gold mining success over the years, including the Bousquet Mine
(3.0 million ounces of gold produced), Agnico Eagle's La Ronde Mine (reserves of
5.3 million ounces of gold). Recent discoveries at Lapa (Agnico Eagle),
Wood-Cadillac (Queenston-Globex), and the Aurizon Mines Joanna property adjacent
to Alexandria's property all attest to the potential of the region.
The closing of the private
placement is expected to occur on or before May 3, 2007, and is subject to the
receipt of all the required regulatory approvals, including the approval of the
TSX Venture Exchange. All the securities issued pursuant to the offering shall
be subject to a hold period of four months from the date of
closing.
In connection with the financing,
an agent's fee of 7% of the gross proceeds raised in the BPP will be paid to
Fraser Mackenzie, and a finders fee of up to 5% for the NBPP will be paid to
MineralFields. In addition, up to 7% brokers warrants will be issued to Fraser
Mackenzie for the BPP and to MineralFields for the NBPP.
Alexandria Minerals Corp. is a
Toronto-based mineral exploration and development company, currently focused on
the exploration for precious metals on mineral properties located in Northern
Ontario and Quebec. The Company's
management has extensive global experience with small to large mining companies,
from grass-roots exploration to the exploitation of mineral deposits. The Company is a reporting issuer in the
provinces of British Columbia, Alberta and Ontario.
This press release, required by
applicable Canadian laws, is not for distribution to U.S. news services or for
dissemination in the United States, and does not constitute an offer of the
securities described herein. These securities have not been registered
under the United States Securities Act of
1933, as amended, or any state securities laws, and may not be offered or
sold in the United States or to U.S. persons unless registered or exempt therefrom.
WARNING:
The Company relies upon litigation protection for "forward-looking"
statements. This
News Release may contain forward-looking statements including but not limited to
comments regarding the timing and content of up-coming work programs, geological
interpretations, receipt of property titles, potential mineral recovery
processes, etc. Forward-looking statements address future events and conditions
and therefore involve inherent risks and uncertainties. Actual results may
differ materially from those currently anticipated in such statements.
Alexandria Minerals Corporation relies upon litigation protection for
forward-looking statements.
PLEASE
CONTACT
Coal
Harbor Communications
Suite
701, 555 Jervis Street
Vancouver
BC Canada V6E 4N1
dale@coal-harbor.com
Tel:
1+ (604) 662-4505
Fax:
1+ (604) 662-4547
Toll-free:
1+ (877) 642-6200 |
Alexandria Minerals
Corporation
Web: www.azx.ca |
The TSX Venture Exchange has not
reviewed and does not take responsibility for the adequacy or accuracy of this
release.