Silverstone Announces Underwritten $50 Million Financing
VANCOUVER, BRITISH COLUMBIA -- (MARKET WIRE) -- 11/07/07 -- THIS
NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY IT IS NOT
INTENDED FOR DISTRIBUTION IN THE UNITED STATES NEWSWIRE SERVICES OR
DISSEMINATION IN THE UNITED STATES
Silverstone Resources Corp. ("Silverstone") (TSX VENTURE: SST) is
pleased to announce it has entered into an agreement for a private
placement with a syndicate of underwriters led by Scotia Capital Inc.
and including PI Financial Corp. pursuant to which the underwriters
have agreed to purchase 17,250,000 common shares of Silverstone at a
price of $2.90 per share for aggregate gross proceeds of
approximately $50.0 million. Capstone Mining Corp. has indicated that
it will purchase 3,577,670 common shares of Silverstone in the
offering. The underwriters also have been granted an option to
purchase an additional 3,450,000 common shares of Silverstone at the
issue price for additional gross proceeds to the company of
$10,005,000. The offering is being completed on a private placement
basis subject to certain conditions including, but not limited to,
the execution of a definitive underwriting agreement and the receipt
of all necessary approvals including the approval of the TSX Venture
Exchange. The offering is expected to close on or about November 27,
2007.
Net proceeds from the offering will be used to repay debt and for
general corporate purposes including potential acquisitions of silver
production.
The securities being offered have not, nor will they be registered
under the United States Securities Act of 1933, as amended, and may
not be offered or sold within the United States or to, or for the
account or benefit of, U.S. persons absent U.S. registration or an
applicable exemption from the U.S. registration requirements. This
release does not constitute an offer or sale of securities in the
United States.
ABOUT SILVERSTONE
Silverstone is a Canadian based public silver mining company with
100% of its revenue from silver production. More information is
available online at: www.silverstonecorp.com.
This press release contains "forward-looking information" that is
based on Silverstone's current expectations, estimates, forecasts and
projections. This forward-looking information includes, among other
things, statements with respect to Silverstone's mineral discoveries,
plans, outlook and business strategy. The words "may", "would",
"could", "should", "will", "likely", "expect", "anticipate",
"intend", "estimate", "plan", "forecast", "project" and "believe" or
other similar words and phrases are intended to identify
forward-looking information.
Forward-looking information is subject to known and unknown risks,
uncertainties and other factors that may cause Silverstone's actual
results, level of activity, performance or achievements to be
materially different from those expressed or implied by such
forward-looking information. Such factors include, but are not
limited to: projected sales or production rates; uncertainties
related to drilling results; the ability to raise sufficient capital
to fund exploration; changes in economic conditions or financial
markets; changes in prices for costs; litigation, legislative,
environmental and other judicial, regulatory, political and
competitive developments; technological or operational difficulties
or inability to obtain permits encountered in connection with
exploration activities; and labor relations matters.
This list is not exhaustive of the factors that may affect our
forward-looking information. These and other factors should be
considered carefully and readers should not place undue reliance on
such forward-looking information. Silverstone disclaims any intention
or obligation to update or revise forward-looking information,
whether as a result of new information, future events or
otherwise.
The TSX Venture Exchange does not accept responsibility for the
adequacy or accuracy of this release.
Contacts:
Silverstone Resources Corp.
Chris Tomanik
(604) 637-8151
(604) 688-2180 (FAX)
Email: ctomanik@silverstonecorp.com
Website: www.silverstonecorp.com
