TORONTO, ONTARIO, Sep 04, 2013 (Marketwired via COMTEX) — Stroud Resources Ltd. /quotes/zigman/187367 CA:SDR -33.33% (“Stroud”) announced that it has raised $138,000 in its previously announced non-brokered private placement of units. Stroud has issued and sold 6,900,000 units at a price of $0.02 per unit, with each unit consisting of one common share and one-half of one non-transferable common share purchase warrant. Each whole share purchase warrant entitles the holder to acquire one common share at a price of $0.05 until August 30, 2014 and thereafter at a price of $0.10 until August 30, 2015. All securities issued pursuant to the private placement are subject to a 4-month hold period. One insider of Stroud participated in the private placement purchasing 1,250,000 units. Directors of Stroud not participating in the private placement have approved the transaction.
Stroud is obligated to pay a cash finder’s fee of $210 to a registered dealer in connection with the private placement.
Stroud proposes to use the net proceeds from this offering, estimated at approximately $136,000, after payment of finder’s and filing fees as follows: approximately $66,000 for audit and public company compliance fees and approximately $27,000 for Santo Domingo property costs, with the remaining approximately $43,000 for general working capital of which $20,000 is expected to be paid to directors and officers or related entities in partial payment of amounts owing to them for services provided to Stroud.
Stroud is an exploration company focused on the discovery and exploration of silver and gold deposits in Mexico and Ontario. Stroud owns a 100% interest in the Santo Domingo epithermal silver-gold project in central Mexico. In addition to the Santo Domingo project, Stroud’s assets include 100% interests in the Hislop gold property, near Timmins, Ontario and the Leckie gold property, near North Bay, Ontario. Stroud also generates cash flow from a 3.75% interest in six natural gas and natural gas condensate wells in central Alberta.
Neither 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.
Contacts:
Stroud Resources Ltd.
Mr. George Coburn
President and CEO
(416) 362-4126
[email protected]
www.stroudresourcesltd.com
