2012-10-04 20:56:01 -
Toronto, Ontario CANADA, October 04, 2012 /FSC/ - PJX Resources Inc. (PJX - TSX Venture), is pleased to announce it has amended and closed a non-brokered private placement announced on September 17, 2012. The amended private placement was oversubscribed and closed with the issuance of 8,939,500 million units for total proceeds of $1,485,720 through the issuance of 1,385,000 flow through units ("Flow Through Unit") at a price of $0.20 per flow through unit, and 7,565,500 non-flow-through units ("Unit") at a price of $0.16 per non-flow through unit. Each Unit, whether acquired as part of a Unit or a Flow Through Unit, consists of one common share and one non-transferable common share purchase warrant. Each warrant will entitle the holder to
purchase one common share at an exercise price of $0.25 for 24 months following completion of the offering. All securities issued under the offering are subject to a four-month hold period.
In aggregate, and in accordance with the policies of the TSX Venture Exchange, $82,954 brokerage commissions and 507,360 brokers' warrants were paid to Union Securities Ltd., Canaccord Genuity Corp., PI Financial Corp., and East-West Trade Partners Inc.
The proceeds from the issuance of the Flow-Through Units shall be used to fund exploration expenditures on the Company's Canadian mineral projects and will qualify as Canadian exploration expenses (as defined in the Income Tax Act). The Company intends to use the net proceeds of the offering for expenditures on the Cranbrook, British Columbia Properties and for general working capital.
"This financing will allow PJX to test new, large target areas for gold and other metals. Many of these targets were identified by compiling historical work with new mapping and modern airborne technologies. We expect that more targets will be identified as we continue to focus our exploration on areas with the greatest potential for discovery." states company President and CEO John Keating.
Multiple target areas with gold and base metal potential on the Eddy property will be the first to be tested by drilling this fall. These large targets were identified by an airborne geophysical survey and occur in areas with historical surface showings of gold, copper, lead, zinc and silver. The new targets have never been tested and do not occur at surface.
Gold targets on the Zinger property are also planned to be drilled this fall. Grab samples of rock at surface have returned gold values ranging from anomalous to up to 39 g/t along a 4.5 kilometre trend on the property. An airborne geophysical survey has identified areas with greater resistivity near surface that correlate with altered zones containing gold. Modeling of the geophysical data suggests that the resistive zones increase in size at depths below 300m. Drilling will test potential for gold within the altered zones and the geophysical anomaly at depth.
Dewdney Trail Property
Exploration on the Dewdney Trail properties has identified target areas with potential to host large sediment-hosted gold deposits. Mapping in the M1 area this summer has defined a structural warping in the sediments that is associated with areas having the most visible gold and grades up to 15 g/t in grab samples. Similar mapping in the Lewis Creek area has better delineated a large structural fold that occurs with a 2.5 km long gold in soil trend. Additional soil sampling and exploration work will be done this fall to define targets for future trenching and/or drilling.
The Vine Property has an historical resource estimate of 1.3 million tonnes grading 2.2 grams per tonne gold, 36.3 grams per tonne silver, 3.12 per cent lead, 3.12 per cent zinc and 0.11 per cent copper. The resource estimate is from exploration work done in the early 1990's and was not prepared using the resource categorizations set out in NI 43-101. No other drilling has been done since on the resource that remains open and has potential to continue to depth and along strike. The historical drill data has been digitized. Computer modeling of the drill holes will be used to define drill targets to expand existing mineralized zones on strike and at depth.
The foregoing geological disclosure has been reviewed by John Keating, P.Geo. (a qualified person for the purpose of National Instrument 43-101 Standards of Disclosure for Mineral Projects). Mr. Keating is the President, CEO and a Director of PJX.
About PJX Resources Inc.
PJX is a mineral exploration company focused on building shareholder value and community opportunity through the exploration and development of mineral resources with a focus on gold. PJX's primary properties are located in the historical mining area of Cranbrook and Kimberley, British Columbia.
Please refer to our web site www.pjxresources.com
for additional information.
FOR FURTHER INFORMATION PLEASE CONTACT:
Linda Brennan, Chief Financial Officer
This News Release contains forward-looking statements. Forward looking statements are statements which relate to future events. Forward-looking statements include, but are not limited to, statements with respect to exploration results, the success of exploration activities, mine development prospects, completion of economic assessments, and future gold production. In some cases, you can identify forward-looking statements by terminology such as "may", "should", "expects", "plans", "anticipates", believes", "estimates", "predicts", "potential", or "continue" or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our actual results, level of activity, performance or achievements to be materially different from any future results, levels of activity, performance, or achievements expressed or implied by these forward-looking-statements.
Although PJX has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on 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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Source: PJX Resources Inc. (TSX-V: PJX)
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