/NOT FOR DISTRIBUTION TO A UNITED
STATES NEWSWIRE OR FOR DISSEMINATION IN THE UNITED STATES/
VANCOUVER, May 12, 2014 /CNW/ - Sarama Resources Limited
("Sarama" or the "Company") is pleased to announce
that it is conducting a private placement (the "Private
Placement") to raise gross proceeds of up to $3,000,000. The Private Placement involves
the issuance of up to 20,000,000 units (the "Units") at a price of
$0.15 per Unit. Each Unit is
comprised of one common share of the Company and one-half of one
common share purchase warrant (each, a "Warrant"). Each
Warrant will entitle the holder to purchase one common share of the
Company for $0.20 at any time prior
to two years after the issue date.
The Private Placement will be conducted on a non-brokered basis
to institutional and accredited investors under applicable
securities laws and is subject to regulatory approvals including
the approval of the TSX Venture Exchange. The Company will close
the placement on May 24, 2014 and may
pay a finder's fee to selected parties. The Company expects
that approximately one-third of the Private Placement will be
subscribed for by existing shareholders. Management and
directors of the Company have indicated an intention to subscribe
for at least 10% of the Private Placement. There is no minimum
amount to be raised in the Private Placement.
The proceeds of the Private Placement will be used principally
to fund diamond drilling at the Company's properties in
Liberia, oxide focussed air core
drilling at the Company's South Hounde' Project in Burkina Faso, an air core scout drilling
program at the company's Kandiole' Sud permit which is adjacent to
Papillion Resources' Fekola Gold Project in Mali and for general working capital
purposes.
These securities have not been and will not be registered under
the United States Securities Act of 1933, as amended, (the "U.S.
Securities Act") or any state securities laws and may not be
offered or sold within the United
States unless registered under the U.S. Securities Act and
applicable state securities laws or an exemption from registration
is available. This announcement does not constitute an offer to
sell or a solicitation of an offer to buy any of the securities in
this Private Placement within the United
States or to, or for the account or benefit of, U.S. Persons
(as defined under Regulation S under the U.S. Securities Act).
For further information on the Company's activities, please
contact:
Andrew Dinning or Paul Schmiede
e:
info@saramaresources.com
t: +61 (0) 8 9363 7600
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.
ABOUT SARAMA RESOURCES LTD
Sarama Resources Ltd (TSX-V: SWA) is a West African focused gold
explorer with substantial landholdings in Burkina Faso, Liberia and Mali.
Sarama's flagship properties are situated within the Company's
South Houndé Project area in south-west Burkina Faso. Located within the prolific
Houndé greenstone belt, Sarama's exploration programs have built on
significant early success to deliver a maiden Inferred Mineral
Resource estimate of 1.5 Moz gold1,2. Outside of
Burkina Faso, Sarama is focused on
consolidating a number of under-explored landholdings in other
emerging and established mining jurisdictions.
Incorporated in 2010, the Company's Board and management team
have a proven track record in Africa and a strong history in the discovery
and development of large-scale gold deposits. Sarama is well
positioned to build on its current success with a strong financial
position and a sound exploration strategy across its property
portfolio.
- 29.13 Mt @ 1.6 g/t Au (at a 0.8 g/t Au cut-off)
- The effective date of the Company's Mineral Resource
estimate is September 16, 2013. For
further information regarding the Mineral Resource estimate please
refer to the technical report titled "NI 43-101 Independent
Technical Report, South Houndé Project, Bougouriba and Ioba
Provinces, Burkina Faso", dated
October 28, 2013. The technical
report is available under the Company's profile on SEDAR at
www.sedar.com.
CAUTION REGARDING FORWARD LOOKING STATEMENTS
Information in this news release that is not a statement of
historical fact constitutes forward-looking information. Such
forward-looking information includes statements regarding the size
of the Private Placement, participation rates of existing
shareholders and management in the Private Placement, and the
Company's planned use of proceeds from the Private Placement.
Actual results, performance or achievements of the Company may vary
from the results suggested by such forward-looking statements due
to known and unknown risks, uncertainties and other factors. Such
factors include, among others, the number and size of the
subscriptions received in the Private Placement, general market
conditions, the price of gold and other commodities, that the
business of exploration for gold and other precious minerals
involves a high degree of risk and is highly speculative in nature;
Mineral Resources are not Mineral Reserves, they do not have
demonstrated economic viability, and there is no certainty that
they can be upgraded to Mineral Reserves through continued
exploration; few properties that are explored are ultimately
developed into producing mines; geological factors; the actual
results of current and future exploration; changes in project
parameters as plans continue to be evaluated, as well as those
factors disclosed in the Company's publicly filed
documents.
There can be no assurance that any mineralisation that is
discovered will be proven to be economic, or that future required
regulatory licensing or approvals will be obtained. However, the
Company believes that the assumptions and expectations reflected in
the forward-looking information are reasonable. Assumptions have
been made regarding, among other things, the Company's ability to
carry on its exploration activities, the sufficiency of funding,
the timely receipt of required approvals, the price of gold and
other precious metals, that the Company will not be affected by
adverse political events, the ability of the Company to operate in
a safe, efficient and effective manner and the ability of the
Company to obtain further financing as and when required and on
reasonable terms. Readers should not place undue reliance on
forward-looking information.
Sarama does not undertake to update any forward-looking
information, except as required by applicable laws.
SOURCE Sarama Resources Limited
