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This release is intended for distribution in Canada only and is not intended for distribution to United States newswire services or for dissemination in the United States
Vancouver, British Columbia -- April 8, 2010 - Astral Mining Corporation (AA.TSXV)("Astral" or the "Company") announces that it has filed and obtained a receipt for a preliminary short form prospectus (the "Prospectus") with securities regulatory authorities in British Columbia and Alberta in connection with an offering of units (each a "Unit") and flow-through units (each a "FT Unit") of Astral to raise aggregate gross proceeds of $1,000,000 (the "Offering"), of which the sale of FT Units will comprise $400,000 of the gross proceeds raised. Macquarie Private Wealth Inc. will act as agent (the "Agent") to the Offering on a 'commercially reasonable efforts' basis.
Each Unit will be comprised of one common share and one non-transferable common share purchase warrant (a "Warrant"). Each FT Unit will be comprised of one common share to be issued as a "flow-through share" within the meaning of the Income Tax Act (Canada) and one Warrant. Each Warrant will entitle the holder to acquire one additional common share of the Company for a period of 24 months following the date of the closing of the Offering.
The Agent will be paid a cash fee of 10% of the gross proceeds of the Offering and a corporate finance fee in the amount of $25,000 plus GST. The Company has also agreed to issue the Agent warrants entitling the Agent to purchase such number of common shares as is equal to 10% of the number of Units and FT Units sold in the Offering, for a period of 24 months following the date of the closing of the Offering.
Final pricing of the Offering and the number of Units and FT Units to be sold will be determined in the context of the market and will occur immediately prior to the filing of the final short form prospectus in respect of the Offering.
The net proceeds from the Offering will be used to fund further exploration of the Company's Jumping Josephine project in Southern British Columbia and for general working capital.
The Offering is subject to certain conditions including, but not limited to, the execution of a definitive agency agreement with the Agent and the receipt of all necessary approvals, including the approval of the TSX Venture Exchange and the applicable securities regulatory authorities.
This press release should be read together with, and is qualified in its entirety by the more detailed information contained in the Prospectus, which is available for review on SEDAR at www.sedar.com.
Astral Mining Corporation is a Canadian company engaged in the exploration and development of precious metal properties in North America. By focusing on exploration in mining-friendly districts, the Company minimizes the political and social risks encountered in many other parts of the world. Further details on Astral Mining Corporation and its portfolio of exploration projects can be found at www.astralmining.com.
For further information on Astral, please contact Manfred Kurschner, President & CEO, at 604-641-1315, or by email
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, or visit the Company's web site atwww.astralmining.com.
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 news release.
Cautionary Note to US Investors: This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.
THIS PRESS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO SELL ANY OF THE SECURITIES DESCRIBED HEREIN IN THE UNITED STATES. THESE SECURITIES HAVE NOT BEEN, AND WILL NOT BE, REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.
2010 Number 06
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