TORONTO, ONTARIO--(Marketwired - Jan. 27, 2015) - KWG Resources Inc. (TSX VENTURE:KWG)(FRANKFURT:KW6) ("KWG") announces that it has acquired today an additional 144,464,000 common shares in the capital of Debut Diamonds Inc. ("Debut") at a price of $0.01 per share through a private placement from treasury in settlement of all of the debt owed by Debut to KWG.
As a result of the above-noted acquisition, KWG now owns or controls 144,630,000 common shares representing approximately 70.8% of the issued and outstanding common shares (undiluted) and 7,000,000 warrants that, if exercised, would represent approximately 3.4% of the issued and outstanding common shares (partially diluted).
KWG has no present intention of acquiring additional securities of Debut (other than with respect to the possible exercise of some or all of the warrants). Depending upon its evaluation of the business, prospects and financial condition of Debut, the market for Debut's securities, general economic and tax conditions and other factors, KWG may acquire more or sell some or all of its securities of Debut.
About KWG: KWG has a 30% interest in the Big Daddy chromite deposit and the right to earn 80% of the Black Horse chromite where resources are being defined. KWG has also acquired patent interests, including a method for the direct reduction of chromite to metalized iron and chrome using natural gas. KWG also owns 100% of Canada Chrome Corporation which has staked claims and conducted a $15 million surveying and soil testing program for the engineering and construction of a railroad to the Ring of Fire from Exton, Ontario.
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.
Shares issued and outstanding: 777,842,468
Contact Information:
Bruce Hodgman
Vice-President
416-642-3575
info@kwgresources.com