Canasil Non-brokered Private Placement Oversubscribed Grant of Incentive Stock Options
May 13, 2010
Vancouver - Canasil Resources Inc. (Canasil, TSX-V: CLZ) announces that the previously announced non-brokered private placement of 3,000,000 units for gross proceeds of $300,000 has been oversubscribed. The Company has received $362,000 in subscriptions to date and is completing the final documentation for submission to the TSX Venture Exchange (“the Exchange”) in order to proceed with closing of the placement. A commission or finder’s fee may be paid with respect to all or part of this placement. The terms of the placement are subject to final acceptance by the Exchange.
Each unit will consist of one common share of the Company and one-half of one share purchase warrant (a “Warrant”); each full Warrant will entitle the holder to purchase one common share of the Company at a price of $0.15 within one year of closing. If, beginning six months following the closing of the private placement, the closing price of the Company’s shares equals or exceeds $0.30 per share for a period of ten consecutive trading days, the Company will have the right to accelerate the expiry date of the Warrants by giving the Warrant-holders at least 30 days’ written notice. The proceeds of the private placement will be used for continuing exploration programs on the Company’s mineral exploration projects and for working capital.
Pursuant to the Company’s Stock Option Plan and subject to regulatory approval, a total of 250,000 incentive stock options have been granted to Consultants of the Company. The options are exercisable for a period of 2 years at a price of $0.10 per share.
Canasil is a Canadian mineral exploration company with interests in precious and base metal projects in Durango, Sinaloa and Zacatecas States, Mexico, and in British Columbia, Canada. The Company’s directors and management include industry professionals with a track record of identifying and advancing successful mineral exploration projects. The Company is engaged in the exploration of its mineral properties.
For further information please contact:
President and C.E.O.
Canasil Resources Inc.
Tel: (604) 709-0109
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.