VANCOUVER, B.C., Aug. 24, 2012 (GLOBE NEWSWIRE) -- ("Eagle Mountain" or the "Company") (Z: TSX-V) (Frankfurt: E9X) (OTCQX: SDMTD) Eagle Mountain announces that it has entered into a finder's fee agreement with Weiser Capital Management ("Weiser") of Nassau, Bahamas, pursuant to which Weiser has arranged an initial tranche of a non-brokered private placement of up to 1,852,000 units ("Units") at a price of $0.135 per Unit for total gross proceeds of approximately $250,000. Each Unit shall consist of one common share (a "Share") and one transferable share purchase warrant (a "Warrant"). Each Warrant entitles the holder to purchase one common share (a "Warrant Share") at a price of $0.18 for a period of 5 years from the closing date of the private placement. The Company has agreed to pay finders' fees comprising an 8% commission payable at the sole election of the finder in cash or units (the "Finder's Units") at a deemed price of $.17 per Finder's Unit. Each Finder's Unit shall consist of one common share and one non transferable share purchase warrant (a "Finder's Warrant") entitling the holder thereof to purchase one common shares of the Company at a price of $.18 per share for a term of 24 months from closing. This placement represents the first of several proposed tranches of financing of up to an aggregate of 15,000,000 Units for total gross proceeds of $2,025,000 to be arranged by Weiser.
The proceeds of the private placement will be used to fund the advancement of the Company's Eagle Mountain Project in Guyana, and for general working capital.
The private placement is subject to TSX Venture Exchange acceptance.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "US Securities Act"), or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
On behalf of The Board of Directors of Eagle Mountain Gold Corp.
"Ioannis (Yannis) Tsitos"
President, CEO & Director
This document contains certain forward looking statements which involve known and unknown risks, delays, and uncertainties not under the corporations control which may cause actual results, performance or achievements of the corporation's to be materially different from the results, performance or expectation implied by these forward looking statements.
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.
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