Aura Silver Resources Inc. (TSX-V: AUU) ("Aura Silver" or the "Company") announces that it has closed the first tranche of its non-brokered private placement of up to $500,000 (the "Offering") announced on November 29, 2016. Aggregate proceeds of approximately $209,000 were raised on this first tranche for 5,977,737 units issued at $0.035 per unit. 

Each unit consists of one common share of the Company and one common share purchase warrant. Each warrant entitles the holder to purchase one common share of the Company at a price of $0.05 per share for a period of 36 months following the date of issuance ("Warrants"). 

The Company has paid eligible finders a cash commission in the amount of $9,360.00 being 8% of the aggregate proceeds from the sale of units to purchasers introduced by the finders as well as issued an aggregate of 267,429 compensation options (each a "Compensation Option"), which is equal to 8% of the number of units sold to purchasers introduced by the finders. Each Compensation Option entitles the finder to acquire a unit at an exercise price of $0.05 exercisable for 36 months following the date of issuance, comprising shares and Warrants.

All securities issued under the first tranche of the Offering are subject to a statutory hold period until May 17, 2017.

The aggregate proceeds raised under the Offering will be used for working capital purposes and for concession fee costs related to the Company's Taviche, Mexico property. No more than 25 percent of the proceeds from the Offering would be paid by way of fees or salary to Company management. No other payments would be made to related parties from the proceeds of the Offering.

The second and final tranche of the Offering is expected to close on or about January 31, 2017.

The offered securities will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") and may not be offered or sold within the United States or to or for the account or benefit of U.S. persons, except in certain transactions exempt from the registration requirements of the U.S. Securities Act. This press release does not constitute an offer to sell, or the solicitation of an offer to buy, securities of the Company in the United States.

This Offering is subject to final acceptance of the TSX Venture Exchange.

About Aura Silver
Aura Silver is a TSX Venture listed company engaged in the acquisition, exploration and development of precious metal prospects in Canada (100% owned Greyhound project under option to Agnico Eagle Mines Ltd.) and in Oaxaca, Mexico (100% owned Taviche project). Aura Silver has 119,808,581 common shares outstanding (including those issued in the first tranche of the Offering)

For further information regarding this press release contact: Robert Boaz, President and CEO at (905) 403-8010 or by e-mail at [email protected]. Aura Silver's web site is located at www.aurasilver.com.

FORWARD-LOOKING STATEMENTS:

This press release may contain forward looking statements that are made as of the date hereof and are based on current expectations, forecasts and assumptions which involve risks and uncertainties associated with our business including the uncertainty as to whether further exploration will result in the target(s) being delineated as a mineral resource, capital expenditures, operating costs, mineral resources, recovery rates, grades and prices, estimated goals, expansion and growth of the business and operations, the private placement financing activities of the Company, plans and references to the Company's future successes with its business and the economic environment in which the business operates. All such statements are made pursuant to the 'safe harbour' provisions of, and are intended to be forward-looking statements under, applicable Canadian securities legislation. Any statements contained herein that are statements of historical facts may be deemed to be forward-looking statements. By their nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties. We caution readers of this news release not to place undue reliance on our forward-looking statements as a number of factors could cause actual results or conditions to differ materially from current expectations. Please refer to the risks set forth in the Company's most recent annual MD&A and the Company's continuous disclosure documents that can be found on SEDAR at www.sedar.com. Aura Silver does not intend, and disclaims any obligation, except as required by law, to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

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.

Original Article: http://www.aurasilver.com/s/NewsReleases.asp?ReportID=775844