African Queen Completes Second Tranche of $3.284 Million Private Placement
AFRICAN QUEEN MINES LTD. (the 'Company?) is pleased to announce
the closing of the second tranche of its previously announced
non-brokered private placement which has raised gross proceeds of CAD
$1,242,505. Together with the first tranche, previously announced, the
Company raised aggregate gross proceeds in this private placement of CAD
$3,283,970.
Under the terms of the private placement, the Company has issued in the
second tranche 1,911,547 Units (the 'Units?) at CAD $0.65 per Unit to
institutional and private investors. Each Unit consists of one common
share of the Company and one-half of one share purchase warrant (the
'Warrants?). Each whole Warrant entitles the holder to purchase one
additional common share of the Company at an exercise price of CAD $0.85
until December 3, 2012. A total of 5,052,263 Units has been issued in
aggregate in this private placement.
The Company paid cash finders′ fees for the second tranche of CAD
$85,225, representing 6.86% of the aggregate proceeds of such tranche.
The Units in the second tranche are subject to a 4-month hold period in
Canada expiring April 4, 2011.
Proceeds from the private placement will be utilized for funding work
programs on the Company′s gold projects in Mozambique, Kenya and Ghana,
and on its diamond projects in Botswana and Namibia, as well as
potential property acquisitions and working capital.
According to Irwin Olian, CEO of the Company, 'We appreciate the
excellent investor response to our offering. This funding now leaves the
Company in a strong financial position with cash on hand to cover all
budgeted drilling and exploration programs anticipated for 2011, as well
as a cushion for accelerating key programs and making other
discretionary expenditures.?
About African Queen
The Company is an exploratory resource company with diversified mineral
properties in Southern, East and West Africa. It is exploring its
properties in Mozambique, Kenya and Ghana for gold and other metals and
it is exploring its properties in Botswana and Namibia for diamonds. The
Company′s licenses in Botswana and Namibia comprise approximately 9208
sq km of diamond prospects. In Mozambique it has approximately 230 sq km
of gold and other metals licenses under an agreement with another
company. In Kenya it has approximately 112 sq. km. of gold and other
minerals licenses under an agreement with another company. Its
operations in Botswana are carried out through its operating subsidiary,
PAM Botswana (Pty) Ltd.; its operations in Namibia are carried out
through its operating subsidiary PAM Minerals Namibia (Pty) Ltd.; its
operations in Mozambique are carried out through its subsidiary PAM
Mocambique Limitada and its operations in Ghana are carried out through
its subsidiary AQ Ghana Gold Limited. Its operations in Kenya are being
carried out through its operating subsidiary AQ Kenya Gold Limited. The
Company has its executive offices in Vancouver, Canada.
ON BEHALF OF THE BOARD OF DIRECTORS OF
AFRICAN QUEEN
MINES LTD.
'Irwin Olian?
Irwin Olian
Chairman
& CEO
Neither 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 release.
The statements made in this press release may contain certain
forward-looking statements that involve a number of risks and
uncertainties. Actual events or results may differ from the Company′s
expectations.
For more information:
African Queen Mines Ltd.
Irwin
Olian, 604-899-0100
Fax: 604-899-0200
President and CEO
tigertail@africanqueenmines.com
or
Carrie
Howes
Corporate Communications
carrie@africanqueenmines.com
or
Düsseldorf:
49 (0) 1722 1234 47
London: 44 (0) 7780 602 788