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June 23, 2005 |
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PRESS RELEASE #05-10 |
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| Trading Symbol: SWM : TSXV | |
VANCOUVER, BRITISH COLUMBIA - Sherwood Mining Corporation (SWM: TSXV) is pleased to announce that it has closed all financings previously announced and has raised gross proceeds of $11,283,000 through the issue of an aggregate of 45,132,000 shares and 35,932,000 share purchase warrants. Subsequent to the press release dated June 9, 2005, Sherwood has closed on an additional 9,698,000 brokered Units (the “Units Offering”) and 400,000 non-brokered flow-through shares for gross proceeds of $2,524,500. Each Unit consists of one share and one share purchase warrant. Each share purchase warrant entitles the holder to purchase one common share of Sherwood until June 17, 2007 at a price of $0.35. The securities issued under this private placement are subject to a four month hold period expiring October 18, 2005. Dundee Securities Corporation and Westwind Partners Inc., as co-agents and including First Associates Investments Inc. and Canaccord Capital Corporation, acted as agents for the Units Offering and received a commission equal to 7% of the gross proceeds from the Units Offering and broker warrants entitling them to purchase that number of common shares of Sherwood equal to 7% of the Units issued. Minto Project & Plans Sherwood's successful consolidation of the ownership of the Minto Project provides a unique investment opportunity; participation in an already permitted, partially constructed, high grade, open pit copper project located in Canada with infrastructure and exploration potential on the property. Sherwood plans to commence an approximately 10,000m drill program at the Minto Project in July 2005 with three objectives: (1) limited confirmatory drilling within the previously defined pit limits, (2) upgrade the estimated 10% of the resource within the previously defined pit from inferred to indicated category to allow its inclusion in a feasibility study, and (3) step out drilling on the margins of the existing resource with the aim of expanding the resource. On completion of this program, Sherwood plans to update the resource estimate and complete a new feasibility study by the end of 2005. Additional details on the Minto Project and the Offer are detailed in Sherwood's offer to purchase and takeover bid circular dated April 29, 2005 (the “Offer”) which is available on Minto Explorations' profile on the SEDAR website at www.sedar.com . Compulsory Acquisition Since more than 90% of Minto Explorations' shares were deposited under the Offer, Sherwood has exercised its statutory rights to acquire the remaining 322,801 Minto Explorations shares held by shareholders who did not accept the Offer on the same terms, including price, as the Minto shares that were acquired under the Offer (the “Compulsory Acquisition”). Minto shareholders who deposited their Minto Explorations shares need not take any further action . Consolidation, Name Change As soon as practicable after the completion of the Compulsory Acquisition, Sherwood intends to implement the share consolidation of four old shares for each one new share as approved by the shareholders at its annual and special meeting held on April 15, 2005. There are currently 83,104,783 common shares of Sherwood outstanding and once consolidation is effected, will result in 20,776,195 common shares being issued before taking into account shares to be issued pursuant to the Compulsory Acquisition. Sherwood will effect a name change in conjunction with the share consolidation to Sherwood Copper Corporation. Completion of the share consolidation and name change are subject to regulatory approval. Advisory Board Appointments Sherwood is please to announce the creation of an advisory board consisting of Fred Graybeal and Jeff Stibbard Mr. Graybeal is a geologist with 40 years of international experience in exploration and mining, with emphasis on exploration and mining geology, resource evaluations, quality control, ore reserve estimates and audits, evaluation of acquisitions, and property negotiations, primarily for base and precious metals. Mr. Graybeal has been involved with several discoveries and reserve expansions and was most recently employed in various capacities with ASARCO Inc. from 1971 to 2003, and was responsible for exploration of the Minto Project from 1999 onwards. Mr. Jeff Stibbard is a Consulting Mining Engineer with expertise in mine design, construction and operation, primarily focused in Canada 's north. Mr. Stibbard's experience includes Mining Manager, BHP Diamonds Inc., Ekati Diamond Mine where he was part of the team which successfully constructed Canada 's first diamond mine. Until recently, Mr. Stibbard was the General Manager of Mining, Albian Sands Energy Inc., Fort McMurray . He was accountable for leading the design, construction and operation of the 450,000 tpd Muskeg River Oilsand Mine and Tailings Dyke. Prior to Albian Sands, Mr. Stibbard was one of the original founding members of Western Oilsands Inc., a 20% partner in the development of the Shell Muskeg River Mine, Fort McMurray Sherwood's new advisory board members bring considerable technical and financial expertise to the Company and are expected to be valuable contributors to the development of the Company. Not for distribution to United States newswire services or for dissemination in the United States .
ON BEHALF OF THE BOARD OF DIRECTORS "D. Bruce McLeod" For further information please contact Bruce McLeod, President of Sherwood at ** INTERNET ADDRESS: www.northair.com/sherwood/ ** The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.
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Suite 860-625 Howe Street, Vancouver, B.C., Canada V6C 2T6 |
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