VANCOUVER, BRITISH COLUMBIA - Sphere Resources Inc. (“the Company”), listed on the NEX Board of the TSX Venture Exchange (NEX – SPH.H), is pleased to make the following announcement:
The Company announces the offering of up to $10.0 million of five year senior secured debt instrument through a private placement. The debt instrument has an interest rate of 6.5% payable annually. All the assets of the Company will be secured under the debt instrument. The Company anticipates completing the placement over the next two months. Funds raised will be used to carry out drilling programs on both the Canadian and US properties in which the Company has interests. The injection of new capital will also provide working capital for the Company and its 52% owned affiliate, Spartan Gold Ltd. (OTCBB:SPAG).
Agents fees will be 8% payable in cash.
Malcolm L Stevens, Executive Chairman and President of Sphere Resources Inc commented: “We are very pleased to be working with New York advisors who will be assisting us with the raising of capital to explore the properties. This will elevate the Company to a new level in respect of its industry peers.”
The proposed transaction is subject to regulatory approval.
About Sphere Resources Inc
Sphere Resources Inc. is focused on identifying and appropriating exploration targets and other high quality assets in major global mining camps with a particular emphasis on precious metals. It is currently involved in exploring for gold mineralization in the Red Lake District of Ontario and in Nevada, USA on the Carlin Trend.
On behalf of Sphere Resources Inc
Malcolm L Stevens,
Executive Chairman and President
Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute forward looking statements. Forward looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in mineral exploration and development. As a result, actual results may vary materially from those described in the forward-looking statements. In respect of the Debt Offering market interest rates may move upwards which may require the interest rate to be amended. The debt offering by Agent(s) may not be successful due to adverse changes in the financial markets.
FOR FURTHER INFORMATION PLEASE CONTACT:
Sphere Resources Inc
Malcolm L Stevens
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.
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