Alexander Nubia Announces Non-Brokered Private Placement of Up to $2.0 Million
TORONTO, ONTARIO--(Marketwired - May 3, 2016) - Alexander Nubia International Inc. (TSX VENTURE:AAN) (the "Corporation" or "Alexander Nubia") is pleased to announce a non-brokered private placement offering of up to 40,000,000 common shares (the "Common Shares") at a price of $0.05 per Share (the "Private Placement"), for total gross proceeds of up to $2,000,000. The closing of the Offering is expected to occur on or about June 1, 2016, subject to TSXV approval.
2016 Work Programme and Corporate Update
The net proceeds of the Offering will be used to fund further exploration activities at the Corporation's Abu Marawat and Fatiri Concessions, including drilling and sampling to extend and develop the Hamama project on the Abu Marawat Concession into a 43-101 maiden resource, and to drill a number of exploratory holes to investigate the potential of the Fatiri Concession. In addition, part of the funds will be used to fund the Corporation's general and administrative expenses, and for working capital purposes.
Additional Terms
All securities issued pursuant to the Private Placement will be subject to a four-month hold period from the date of issuance under applicable Canadian securities laws. The Corporation may pay certain finders fees on certain of the gross proceeds raised from the sales of Shares pursuant to the Private Placement, yet to be determined and subject to the approval of the TSXV.
This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The 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 or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
ABOUT HAMAMA GOLD DEPOSIT
Hamama is located within a northeast-trending gold-copper belt that extends for 40 km across the Company's Abu Marawat Concession. The Main Horizon of Hamama has a strike length of 3 km and is divided into three main zones; Hamama West, Hamama Central and Hamama East. Mineralization at Hamama crops out at surface, and at Hamama West is deeply weathered into a soft and friable oxidized blanket called the Gold-Oxide Cap, which extends over 900 m in strike length and has an average vertical depth of 35 m. Drill results in oxide at Hamama West include 37 m at 2.32 g/t Au and 107.1 g/t Ag in AHA-15, 32.6 m at 1.37 g/t Au and 56.4 g/t Ag in AHA-37 and 19 m at 2.46 g/t Au and 157.3 g/t Ag in AHA-46. Preliminary metallurgical (bottle-roll) test results on the Gold-Oxide Cap returned up to 92.2% Au and 65% Ag recovery by cyanide leach from oxide (see January 13, 2015 News Release).
Primary sulphide mineralization at Hamama West returned such intercepts as 48 m at 1.45 g/t Au and 31.8 g/t Ag in AHA-23 and 88 m at 1.11 g/t Au and 118 g/t Ag in AHA-31 (see News Release dates May 12, 2015). The last drill hole from the 2015 drilling program, AHA-58, was entirely mineralized, from surface to 210 m depth, and includes 39 m at 1.64% Zn, 0.25 g/t Au and 25.7 g/t Ag (53 m to 92 m), 12.3 m at 2.49% Zn, 0.29% Cu, 0.26 g/t Au and 41.4 g/t Ag (92 m to 104.3 m), 43.5 m at 3.70% Zn, 0.23% Cu, 2.61 g/t Au and 150 g/t Ag (112.5 m to 156 m) and 50.7 m at 0.69 g/t Au and 29.7 g/t Ag (160 m to 210.7 m).
About Alexander Nubia International Inc.:
Alexander Nubia (TSX VENTURE:AAN) is in the business of exploring for and developing potentially economic gold deposits in the Central Eastern Desert of Egypt in the Arabian Nubian Shield ("ANS"). The Company's 100%-owned concessions, Abu Marawat and Fatiri, between them cover 2,772 km2 of underexplored ground. Evidence of gold and copper mining in the concessions dates the many surface workings to pre-historic (Bronze Age) and Old Kingdom (Pharaonic), through Ptolemaic, Roman, Early Arab times and into the European Era of the early to mid 20th Century. Three historic gold mines occur within the two concessions: British miners produced gold at Sir Bakis, Semna and Abu Zawal into the 1950s.
Much of the gold-vein mineralization in the ANS is of the orogenic, quartz-carbonate-type and is associated with major north-northwest and northeast trending shear-zones. Centamin's Sukari gold mine is located 400 km to the south of Abu Marawat, in the same mountain belt.
The Abu Marawat and Fatiri Concessions are underlain by the Proterozoic-aged Pan-African greenstone belt of the ANS. The ANS also underlies the Red Sea and large parts of Saudi Arabia, The Sudan, Eritrea and Ethiopia. Significant VMS deposits in the ANS include Barrick and Ma'aden 50:50% JV of Jabal Sayid in Saudi Arabia; Nevsun Bisha Main and Harena in Eritrea; La Mancha's Hassai and Hadal Awatib in the Sudan and Sunridge Emba Derho, Debarwa and Adi Nefas in Eritrea. The Company's Hamama gold-rich VMS shares key geological similarities with these major VMS deposits.
Similar geological settings to the ANS include the greenstone belts of the Yilgarn of Western Australia, the Birimian of West Africa and the Abitibi in Quebec, Canada. The ANS is most similar in age to the Birimian.
The Company's land package, located 350-400 km southeast of Cairo, includes excellent infrastructure; Hamama has direct access to two four-lane highways, a zero-gradient railway bed that runs through Abu Marawat concession to a Red Sea port, multiple high-voltage (capacity 220kV) power lines that cross between the two concessions, a water pipeline and nearby major cities: Qena, on the Nile River, 70 km to the west, and Port of Safaga, on the Red Sea, 50 km to the east. The city of Luxor, ancient Thebes, is a two-hour drive from Hamama and has an international airport.
Qualifying Person:
Rick Cavaney is Alexander Nubia's Exploration Manager. He has over forty-five years of experience in the mining industry and was formally an exploration manager with Centamin at Sukari and Abu Marawat for eight years. As a fellow of the Australian Institute of Mining and Metallurgy (Aus.I.M.M) is a competent person under the Joint Ore Resources committee (JORC) Code and is a qualified person, as such term is defined in NI 43-101 of the Canadian Securities Administrators, and he has reviewed and approved this release.
For more information on Alexander Nubia, visit us at www.alexandernubia.com.
ON BEHALF OF THE BOARD OF Alexander Nubia International Inc.
Mark W. Campbell, President & CEO
Cautionary Note Regarding Forward-Looking Statements
Some of the statements contained in this release are forward-looking statements. Since forward-looking statements address future events and conditions; by their very nature they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements. 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.
Contact
Alexander Nubia International Inc.
Mark W. Campbell
President and Chief Executive Officer
+1-936-689-2589
mc@alexandernubia.com
General Information
+1 (604) 727-1813
info@alexandernubia.com
www.alexandernubia.com