2013-02-06 02:16:52 -
February 5, 2013, Toronto, Ontario, Canada- Rio Silver Inc. (TSX-V: RYO) (the "Company") is pleased to report that it has completed the first two tranches of its previously announced private placement consisting of 4,346,111 units (the "Units") at $0.09 per Unit for aggregate gross proceeds of $391,149.99. Each Unit consists of one common share of the Company and one common share purchase warrant exercisable at $0.12 per share until December 21, 2013 and February 4, 2014 for the first and second tranches respectively. In connection with the private placement, the Company paid finder's fees comprised of an aggregate of $10,449 in cash and issued an aggregate of 116,100 broker warrants exercisable to acquire one common share of the Company at
a price of $0.12 per share until December 21, 2013 and February 4, 2014 for the first and second tranches respectively. All of the securities issued will be subject to a statutory hold expiring on April 22, 2013 and June 5, 2013 for the first and second tranches respectively.
The proceeds of the private placement will be used by the Company in connection with its exploration program at the Company's Ninobamba silver and gold project in Peru, and for working capital purposes.
The Company has granted to a director an aggregate of 1,000,000 incentive stock options under the Company's stock option plan, subject to Exchange approval. Each such option may be exercised by the holder to purchase one common share of the Company at a price of $0.10 for a period of five years from the date of the grant.
ON BEHALF OF THE BOARD OF DIRECTORS OF
RIO SILVER INC.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release includes forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements except as required by the applicable laws.
For more information contact:
Dwight Walker, CFO
Tel: (416) 567-2785
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