First Star Resources Inc. Closes First Tranche of Private Placement


Follow this company

Companies Mentioned

TSX.V:FS
05/27/2011 [ACCESSWIRE]

VANCOUVER - First Star Resources Inc. (TSX-V: FS) (the "Company")
announces that further to its news releases dated March 25, 2011 and May 12, 2011, it has
completed the first tranche of its non-brokered private placement of 6,008,000 units at a price of
$0.15 per unit for gross proceeds of $901,200 (the "Offering").


Each unit consists of one common share and one non-transferable common share purchase
warrant of the Company. Each warrant will entitle the holder to acquire one common share of the
Company at a price of $0.20 per common share until May 27, 2013 subject to the Company's
right to accelerate the expiry date of the warrants if the average trading price of the common
shares of the Company on the TSX Venture Exchange is equal to or exceeds $0.45 per common
share for a period of 10 days during the term of the warrant.


The Company paid cash commissions to finders totaling $39,721.50.


The common shares and warrants issued pursuant to the private placement and any common
shares issued on exercise of the warrants are subject to 4-month resale restriction that expires on
September 28, 2011.


The proceeds raised will be used for general working capital.


About First Star Resources Inc.
First Star Resources is a junior exploration company focused on gold exploration in the world
famous Tintina Gold belt in Alaska. The Tintina Gold belt hosts major gold deposits and several
mines, such as: Fort Knox Mine-3.7 million oz gold, the Donlin Creek deposit 33.5 million oz.
gold, the Livengood deposit, 8.1 million oz gold, White Gold deposit 1.4 million oz gold
(recently taken over by Kinross Gold Corp), and the Pogo Mine 5.6 million oz gold, which is
adjacent to one of First Stars Resources' key targets for this year, and the WP property.
International Tower Hill (ITHT) spent millions of dollars on the WP and LMS properties which
they optioned to First Star Resources after they made their discovery at Livengood. Both of these
properties have well defined gold targets. First Star Resources recently completed drilling on the
LMS, property and now is in the planning stages for its work programs set for early 2011.

 

ON BEHALF OF THE BOARD
John Campbell CEO


Visit the Company's website, www.firststarresources.com


For More Information Contact:
Investor Relations
604-608-0300
ir@FirstStarResources.ca

 

 

DISCLAIMER
Forward-looking statements relating to future events or future performance and reflecting First Star Resources or
beliefs regarding future events include, but are not limited to, statements with respect to completion of the private
placement and related matters. In certain cases, forward-looking statements can be identified by the use of words
such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts",
"intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur "or "be achieved" or the negative of these terms or comparable terminology. By nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of First Star Resources to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, risks related to actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of resources; possible variations in ore reserves, grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of development or construction activities; as well as those factors detailed from time to time in Petro Horizon's interim and annual financial statements and management's discussion and analysis of those statements, all of which are filed and available for review on SEDAR at www.sedar.com. Although First Star Resources has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking statements.

 

"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.

COMMENTS

Leave a comment...
 * 

Your Name
 *