|January 31, 2011|
Prospero Announces Private Placement
Vancouver, B.C., - Prospero Silver Corp (TSXV: PSL) the "Company" is pleased to announce that it intends to complete a non-brokered private placement of up to 5,800,000 units at a price of $0.35 per unit, for aggregate gross proceeds of up to CDN $2,030,000. Each unit will consist of one common share and one warrant, exercisable by the holder to acquire one additional common share at a price of $0.50 for a period of one year.
If at any time from four months and one day after the closing of the financing, the volume weighted average trading price of the Company's common shares on the TSX Venture Exchange over a period of 20 consecutive trading days exceeds $0.75, the Company may, within five days after such event, provide notice to the warrant holders that the warrants will expire early, namely on the date which is 30 calendar days after the date of such notice to the warrant holders.
A finders fee may be paid on all or part of the placement. The finder's fee will consist of 6% cash and 6% warrants, each such warrant entitling the holder to purchase one common share at $0.50 exercisable for one year.
The net proceeds from this private placement will be used for drilling at its San Luis del Cordero Silver/Copper project; geophysics at its Campana gold project; ongoing drilling at its El Dorado gold project and for general working capital purposes.
This proposed financing is subject to the approval of the TSX Venture Exchange.
About Prospero Silver Corp.:
Prospero is a Canadian resource company with the majority of its staff based in Mexico and who work for its wholly owned subsidiary Minera Fumarola, SA de CV (Fumarola). Prospero's objective is to quickly evaluate the properties currently optioned and focus on bringing one into early production while seeking to expand the mineral potential to its maximum. Priority will be given to high grade gold or silver projects.
This news release contains forward-looking statements within the meaning of the Canadian provincial securities laws that are not historical facts. Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements, including statements regarding future exploration plans. Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, the Company's inability to obtain any necessary permits, consents or authorizations required for its planned activities, and the Company's inability to raise the necessary capital or to be fully able to implement its business strategies. The reader is referred to the Company's public disclosure record which is available on SEDAR (www.sedar.com), including the risk factors discussed in Prospero's November 27, 2009 prospectus. Although Prospero believes that the assumptions and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Except as required by securities laws and the policies of the TSX Venture Exchange, Prospero disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
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.
You can view the Next News Releases item: Mon Feb 28, 2011, Prospero Commences Phase 2 Drilling At Cordero Copper/Silver Project
You can view the Previous News Releases item: Fri Dec 10, 2010, PROSPERO INTERSECTS 16.17 METERS OF 4.03 g/t Au, 204 g/t Ag, 4% Pb including 8.15 meters of 5.0 g/t Au, 223 g/t Ag, 7.6% Pb AT EL DORADO PROJECT, NAYARIT
You can return to the main News Releases page, or press the Back button on your browser.