Kingsmen Resources raises $4.15 million in private placement

Kingsmen Resources Ltd. (TSXV: KNG) (OTCQB: KNGRF) (FSE: TUY) closed a non-brokered private placement financing that raised gross proceeds of $4,151,250, according to a company statement.

The Vancouver-based mineral exploration company issued 3,075,000 units at $1.35 per unit. Each unit consists of one common share and one-half of a common share purchase warrant. The full warrants allow holders to purchase additional common shares at $1.90 each for two years from the closing date.

Kingsmen plans to use the net proceeds to advance its Las Coloradas Silver/Gold project in Mexico and for working capital purposes. The company paid $191,179.36 in cash and issued 141,614 non-transferable finder's warrants on a portion of the placement. The finder's warrants are exercisable at $1.90 for two years from closing.

All securities issued in the financing are subject to a four-month hold period and regulatory approvals, including final acceptance by the TSX Venture Exchange.

Kingsmen Resources focuses on advancing its wholly-owned projects, including the Las Coloradas silver/gold project and Almoloya gold/silver project in Mexico's Parral mining district. The company also holds a 1% net smelter return on the La Trini claims, which are part of the Los Ricos North project operated by GoGold Resources Inc.

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