Nevada Exploration Announces Financing
October 14, 2009
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
Nevada Exploration Inc. (“NGE” or the “Company”) (TSX‐V:NGE) is pleased to announce that the Company has negotiated a commercially reasonable efforts private placement with Canaccord Capital Corporation (the “Agent”) for up to 2,942,000 Units (the "Units") at a price of $0.17 per Unit for gross proceeds up to $500,140 (the "Offering"). Each Unit will consist of one common share of the Company (a "Common Share") and one-half of one non-transferable common share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder to subscribe for one additional Common Share at a price of $0.22 for a period of 18 months from the date of closing.
The Company has also granted the Agent an over allotment option to solicit additional Units, subject to confirmation by the Company, to raise additional gross proceeds of up to $500,140, exercisable at any time up to forty-eight hours prior to closing.
The funds raised from the issuance of the Units will be used to fund exploration activities on its properties in Nevada and for general working capital purposes.
Closing of the Offering is anticipated to occur on or before November 5, 2009 and is subject to the receipt of applicable regulatory approvals including approval of the TSX Venture Exchange. The shares issued upon the closing of the Offering will be subject to a four month hold period from the date of issue, as well as to any other re-sale restrictions imposed by applicable securities regulatory authorities.
ABOUT NEVADA EXPLORATION INC.
NGE is an exploration company focused on gold in Nevada. NGE is led by an experienced and historically successful exploration management team. NGE has developed a proprietary groundwater chemistry exploration technology to explore for gold in Nevada’s covered basins where traditional exploration techniques are challenged. NGE has completed the first ever comprehensive survey of Nevada’s groundwater focused on discovering new gold deposits, and has demonstrated that Nevada’s gold deposits exhibit recognizable and measurable groundwater chemistry signatures. NGE has used its proprietary technology to identify, acquire, and develop 10 new exploration properties exhibiting groundwater chemistry similar to known gold mines, and NGE is applying a standardized, staged exploration program at each property.
NGE has completed Phase I drilling at three of its properties and has discovered new, previously unknown, geochemically anomalous, hydrothermal systems at all three. With these results, NGE has demonstrated that its groundwater chemistry exploration program can identify new, high quality exploration targets in previously unexplored areas. Now that NGE has established groundwater chemistry as a valuable and important exploration technology, NGE plans to focus on matching its drill‐ready properties with exploration partners. By leaving the later, more‐traditional exploration stages for our partners, NGE plans to focus on leveraging its investment in groundwater chemistry exploration technology to identify and advance more new exploration properties, and to establish itself as a source of high quality, drill ready exploration properties for the mining industry.
For further information please visit our website at www.NevadaExploration.com or contact:
Wade A. Hodges, President & CEO Nevada Exploration Inc. Tel: (775) 359‐7740 Fax: (775) 359‐7741
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 or accuracy of this release.
Cautionary Statement on Forward‐Looking Information:
This release contains certain "forward‐looking statements" including, without limitation, expectations, beliefs, plans and objectives regarding the potential transactions and ventures discussed in this release. Among the important factors that could cause actual results to differ materially from those indicated by such forward‐looking statements are the risks inherent in mineral exploration, the need to obtain additional financing, environmental permits, the availability of needed personnel and equipment for exploration and development, fluctuations in the price of minerals, and general economic conditions.