Teras Appoints Mr. Mike Padley as Director of Finance and to Its Board of Directors and Announces a New Private Placement
Calgary, Alberta--(Newsfile Corp. - January 7, 2015) - Teras Resources Inc. (TSXV: TRA) ("Teras" or the "Company") announces the appointment of Mr. Michael G. Padley as Director of Finance for the company and a seat on the Board of Directors effectively immediately. The company also intends to complete a non-brokered private placement of up to 15,000,000 Common Shares for gross proceeds of up to $1,200,000.
Peter Leger, President and CEO for Teras, "we would like to welcome Mike to the Teras team and it's Board of Directors. Mr. Padley is a significant shareholder of Teras and his involvement and support to help generate the funding required by Teras to advance the Cahuilla project is a valuable addition."
Mr. Padley brings extensive Capital Markets and Institutional Investing experience to the company with his 23 years at Calgary based Peters & Co. Limited. Peters & Co. Limited ("Peters & Co.") is an independent, fully integrated investment dealer which has specialized for over 41 years in investments in the Canadian energy sector. Peters & Co. is a participating member of The Toronto Stock Exchange, the TSX Venture Exchange, and the Canadian National Stock Exchange as well as other exchanges. Mr. Padley holds a Bachelor of Arts degree from the University of Calgary and resides in Calgary.
As Director of Finance, Mr. Padley will assist Teras in completing a non-brokered private placement of up to 15,000,000 Common Shares at a price of $0.08 per share for gross proceeds of up to $1, ,200,000. A finder's fee of up to 6% of the gross proceeds of the private placement may be paid on all or any portion of this private placement. It is not anticipated that any new insiders will be created, nor that any change of control will occur, as a result of the private placement. Completion of the private placement is subject to regulatory approval.
The majority of the proceeds of the private placement will be reserved for an upcoming diamond core drill program at our Cahuilla project. As per the news release dated December 16, 2014, Teras' upcoming core drill program will be focused within the high grade target zone (as shown in the diagram below). The drill program will be scheduled to start shortly after the completion of the financing.
To view an enhanced version of "Drill Holes with 2 G/T or More in Resource Area", please visit:
http://orders.newsfilecorp.com/files/2074/13320_enhancedx2x1.jpg
Teras has today granted 1 million options to purchase common shares of the Company to directors, officers, and consultants of the Company in accordance with the Company's stock option plan. The options have an exercise price of $0.085 per share. The expiry date of the options will be 5 years from the date of issuance, being January 6th, 2020.
"Teras has determined that there are exemptions available from the various requirements of TSX Venture Policy 5.9 and Multilateral Instrument 61-101 for the issuance of the options to the directors and officers of Teras (Formal Valuation - Issuer Not Listed on Specified Markets; Minority Approval - Fair Market Value Not More Than 25% of Market Capitalization)."
About Teras
Teras is focused on developing its Cahuilla project located d in Imperial County, California. The project encompasses an area of at least 3 km by 1.5 km and Teras believes that the Cahuilla project has the potential to develop into a mining operation consisting of altered and mineralized sedimentary and volcanic host rocks with numerous sheeted high-grade quartz veins. Teras filed a NI 43-101 compliant technical report with an indicated resource of 1.0 million ounces of gold and 11.9 million ounces of silver on its Cahuilla project (70 million tons at an average grade of 0.0 15 ounces per ton gold and 0.17 ounces per ton silver with a cut-off of 0.008 ounces per ton gold) and inferred class of 10 million tons grading 0.01 1 opt gold and 0.10 opt silver. Gold equivalent ounces are 1.2 million ounces in indicated class and 130,000 ounces in inferred class using a ratio of 55 silver ounces to 1 gold ounce.
Dale A Vitone P. Eng., registered with the Association of Professional Engineers of Ontario, Alberta and Northwest Territories and a director of Teras, is the Company's nominated qualified person responsible for monitoring the supervision and quality control of the programs completed on the Company's properties. Mr. Vitone has reviewed and verified the mining scientific and technical information contained in this news release.
For further project and corporate information, contact:
Teras Resources Inc.
Peter Leger, President
(403) 262-8411
(403) 852-0644
Email: pleger@teras.ca
Website: www.teras.ca
Mike Padley, Director of Finance
(403) 689-2237
Email: mikepadley@shaw.ca
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 of accuracy of this news release.
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward-looking information. Generally, forward-looking information may be identified by the use of forward-looking terminology such as "plans", "goals", " expects" or "does not expect", "proposed", "potential", "is expected", "budgets", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. In particular, this press release contains forward-looking information regarding the diamond drilling program being conducted by the Company and the timing of results of such program; the potential of the Company's Cahuilla project to develop into a mining operation; and the Company's goals for the Cahuilla project. This forward-looking information reflects the Company's current beliefs and is based on information currently available to the Company and on assumptions the Company believes are reasonable. These assumptions include, but are not limited to, the availability of third parties to conduct and evaluate the results of the diamond drilling program; the actual results of exploration projects and current exploration programs being equivalent to or better than estimated results in technical reports or prior exploration results; and future costs and expenses being based on historical costs and expenses, adjusted for inflation. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: the early stage development of the Company and its projects; general business, economic, competitive, political and social uncertainties; commodity prices; the actual results of current exploration and development or operational activities; competition; changes in project parameters as plans continue to be refined; accidents and other risks inherent in the mining industry; lack of insurance; delay or failure to receive board or regulatory approvals; changes in legislation, including environmental legislation, affecting the Company; timing and availability of external financing on acceptable terms; conclusions of economic evaluations; and lack of qualified, skilled labour or loss of key individuals. A description of other assumptions used to develop such forward-looking information and a description of other risk factors that may cause actual results to differ materially from forward-looking information can be found in the Company's disclosure documents on the SEDAR website at www.sedar.com. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.