-- Posted Thursday, 9 December 2010 | Digg This Article
| | Source: GoldSeek.com
Vancouver, Canada – Fire River Gold Corp. (TSX.V: FAU; OTCQX: FVGCF; FSE: FWR) (the “Company”) wishes to announce that further to its news release dated October 21st 2010, and November 24th the Company has completed the second tranche of its non-brokered private placement and has issued 2,783,411 units (the "Units") at a price of $0.45 per Unit for gross proceeds of $1,252,534.95 and an aggregate amount of total issuance of 15,666,494 units for gross proceeds of $7,049,922.30. The Company anticipates closing on the balance of the $8.5 million offering by year end.
Each Unit consists of one common share and one-half of one non-transferable share purchase warrant. Each whole share purchase warrant entitles the holder to purchase one common share at a price of $0.65 per share for 18 months, subject to an accelerated expiry provision, such that, in the event that the Company's shares close at or above $0.90 per share for 10 consecutive trading days on the TSX Venture Exchange, the expiry date may be accelerated to 30 days.
All of the Common shares issued pursuant to this closing carry a legend restricting them from trading until April 8, 2011.
The funds from the private placement will be used for the completion of the Gold Recovery System (CIL circuit) while the increased portion of the private placement will be used for ongoing development work on the Nixon Fork Gold Mine in Alaska and general working capital.
About Fire River Gold Corp.
Fire River Gold Corp. is a near term production company with an experienced technical team focused on bringing its flagship project, the Nixon Fork Gold Mine, back into production in 2011. The Nixon Fork Gold Mine is a fully permitted and bonded mine with past production values averaging 1.14 opt (39 gpt). Facilities at the Nixon Fork Gold Mine include a 200 tpd flotation plant with a gravity gold separation circuit and a sulphide flotation circuit. In 2008, a gold recovery plant / CIL gold leaching circuit was purchased and partially installed. The mine also includes a fleet of mining vehicles, a self-contained power plant, maintenance facilities, drilling equipment, an 85 person camp, office facilities and a 1.2 km long landing strip.
On behalf of the Board of Directors, I look forward to keeping you updated with our corporate developments.
Harry Barr
President & C.E.O.
Further Information: Tel: +1 604 685 1870 Fax: +1 604 685 8045
Email: info@firerivergold.com or visit www.firerivergold.com
2303 West 41st Avenue, Vancouver, B.C., Canada, V6M 2A3
Certain information regarding the Company including management's assessment of future plans and operations, may constitute forward-looking statements under applicable securities laws and necessarily involve risks associated with mining exploration and development, volatility of prices, currency fluctuations, imprecision of resource estimates, environmental and permitting risks, access to labour and services, competition from other companies and ability to access sufficient capital. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements. A feasibility study has not been completed and there is no certainty the disclosed targets will be reached nor that the proposed operations will be economically viable. 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. We seek safe harbour.
-- Posted Thursday, 9 December 2010 | Digg This Article | Source: GoldSeek.com
