Kent Increases Private Placement Announces New Private Placement
22 July 2011
NEWS RELEASE KEX2011-17
KENT INCREASES PRIVATE PLACEMENT ANNOUNCES NEW PRIVATE PLACEMENT
Kent Exploration Inc. (the “Company” or “Kent”) reports that, due to a substantial oversubscription, and subject to approval by the TSX Venture Exchange (“TSX-V”), it has increased its previously announced, up to 12,000,000 Unit non-brokered Private Placement to 13,800,000 Units.
Each unit consists of one (1) common share and one (1) non-transferable common share purchase warrant. Each warrant is exercisable for a period of two (2) years from closing and will entitle the holder to purchase one additional common share in the capital stock of the Company at a price of $0.10 per common share for a period of twenty four months. Shares subscribed for in the Private Placement are subject to a four (4) month plus one day hold period.
The proceeds from the financing are to be used for the Flagstaff Barite Project, Alexander River Gold Project and for general and corporate purposes.
Additionally, the Company announces, subject to approval from the TSX Venture Exchange an up to 5 million Unit private placement at 6.5 cents per Unit for gross proceeds of $325,000.
Each unit consists of one (1) common share and one (1) non-transferable common share purchase warrant. Each warrant is exercisable for a period of two (2) years from closing and will entitle the holder to purchase one additional common share in the capital stock of the Company at a price of $0.10 per common share for a period of twenty four months. Shares subscribed for in the Private Placement are subject to a four (4) month plus one day hold period. The warrants will be subject to accelerated expiry in the event the company's shares trade at 15 cents per share for a period of 10 consecutive trading days after expiry of the four-month hold period.
The proceeds from the financing are to be used for the Flagstaff Barite Project, Alexander River Gold Project and for general and corporate purposes.
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Kent Exploration Inc. is a junior exploration company that has acquired the Alexander River, Paparoa and Lyell gold projects in the highly prolific Reefton gold field in New Zealand and has an approximate 35% interest in, and is the controlling shareholder of, Archean Star Resources Inc, (“Archean”) which is listed on the TSX Venture Exchange under the symbol ASP. Archean’s wholly owned subsidiary, Archean Star Resources Australia, Pty, Ltd, (“ASRA”) has an Option Agreement, subject to a 75% back in right, to earn 100% of Teck’s interest in Chalice Gold Mines Limited’s Gnaweeda Gold Project in West Australia. The Company has an option to earn a 100% interest in the Silver Hills property, a silver/ lead/ zinc prospect in south-eastern British Columbia, The Company has a 100% interest in Coal Prospecting Permits covering approximately 92,000 ha in east-central Saskatchewan,; a 100% interest in a mining lease option on the Flagstaff Mountain property, a barite-gold-silver-zinc- property in eastern Washington state, having a fully permitted mine which is approved to produce up to 100,000 tons of barite per year, a and a 100% interest in the mining lease option on the Ivanhoe Creek property, a Midas-style gold/silver target in Nevada’s Carlin Trend, and 50% of a 100% interest in the Ivanhoe Creek placer claims covering a bentonite deposit.
This News Release has been prepared on behalf of the Kent Exploration Inc. Board of Directors, which accepts full responsibility for its contents.
ON BEHALF OF THE BOARD
"Graeme O'Neill"
Graeme O’Neill, President
Neither the TSX Venture Exchange, nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), has reviewed, nor do they accept responsibility for, the adequacy or accuracy of this news release