TORONTO, ONTARIO, Nov. 30, 2010 (Marketwire) -- Western Troy Capital Resources (TSX VENTURE:WRY) (Western Troy or the Company) announces the closings of two previously announced non-brokered private placements. Both transactions were conditionally approved by the TSX Venture Exchange on November 11, 2010.
The first placement was a non-brokered private placement raising gross proceeds of $2,000,000 by the issuance of 4,000,000 flow-through units (the "FT Units") at a price of $0.50 per unit. Each FT Unit consists of one flow-through common share ("FT Share") and one share purchase warrant ("Warrant"). Each Warrant entitles the holder to purchase a non flow-through common share of the Company at a purchase price of $0.60 for a period of two years from the date of closing of the private placement. Western Troy also issued 280,000 units as a finders' fee (the "Finder's Unit") equal to 7% of the total number of FT Units sold through the efforts of the finder. The Finder's Units are non-flow through units and have the same terms as the FT Units. This private placement was subscribed to by a number of private individuals. All of the securities issued in the proposed private placement are subject to a hold period of four months and one day.
The second placement was a non-brokered private placement with Pinetree Capital Ltd. and other investors raising gross proceeds of $500,000 by the issuance of 1,000,000 common share units ("Units") at a price of $0.50 per unit. Each Unit consists of one common share and one share purchase warrant ("Warrant"). Each Warrant entitles the holder to purchase a common share of Western Troy at a purchase price of $0.60 for a period of two years from the date of closing of the private placement. All of the securities issued in the private placement are subject to a hold period of four months and one day.
Western Troy's President, Rex Loesby, commented, "As a result of these transactions and the recently closed private placement with Agnico Eagle Mines Ltd., Western Troy's cash position will be approximately $4.5 million. This will fully fund our exploration plans for 2011 and allow for the completion of the final feasibility study and environmental permitting for our MacLeod Lake Copper/Molybdenum Project. Western Troy has the blue sky potential demonstrated by high grade mineralization in chip samples over a large area in what appears to be a volcanogenic massive sulphide (VMS) type copper/gold prospect at Deborah Lake. Western Troy also has good potential at our other exploration projects, plus the foundation of an attractive advanced stage project at MacLeod Lake."
Deborah Lake Copper/Gold: Western Troy has accelerated its exploration plans for its Deborah Lake Copper/Gold Prospect. Western Troy plans an airborne survey with Fugro Airborne Surveys, one of the industry's premier airborne geophysical contractors. The program involves a GEOTEM(R) Time-Domain Electromagnetic airborne geophysical survey and a magnetic survey program at Deborah Lake. GEOTEM(R) is a broadband fixed-wing AEM system suitable for identifying potential mineralized targets when combined with geologic maps. GEOTEM(R) produces accurate, high resolution information as a 3D conductivity distribution image. Its application has been used in base metal, diamond, uranium and gold exploration, regolith and paleochannel mapping, base metals and alteration mapping, ground water mapping, and halo mapping. The information gathered from this program will provided drill targets for a drilling program to be performed in late winter/early spring of 2011.
About Western Troy: Western Troy's shares trade on the TSX Venture Exchange under the symbol WRY. On closing of the above private placements, Western Troy has 30,564,970 shares outstanding. More information on Western Troy can be found on its Website at www.westerntroy.com.
Forward Looking Statements: Statements in this release that are forward-looking reflect the Company's current views and expectations with respect to its performance, business, and future events. Such statements are subject to various risks and assumptions, some, but not necessarily all, are disclosed elsewhere in the Company's periodic filings with Canadian securities regulators. Such statements and information contained herein represent management's best judgment as of the date hereof based on the information currently available; however actual results and events may vary significantly. The Company does not assume the obligation to update any forward-looking statement.
Mr. Eddy Canova, P.Geo. (OGQ 403), is the qualified person who has reviewed the content of this press release.
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.
Western Troy Capital Resources