Central Resources Proposes Amendment to Share Purchase Warrants
Vancouver, BC, February 24, 2011 – Central Resources Corp., (TSX‐V: CBC) (“Central” or the “Company”) proposes to amend the terms of common share purchase warrants (the “Warrants”) that were issued on October 30, 2009 pursuant to a non‐brokered private placement of 5,500,000 units of the Company (“Units”) at a price of $0.10 per Unit. Each Unit consists of one common share of the Company (a “Share”) and one Warrant, with each Warrant entitling the holder to acquire one Share until October 30, 2011. The exercise price of the Warrants was $0.20 per share in the first year and is $0.40 per Share in the second year (the “Second Year Exercise Price”).
Subject to TSX Venture Exchange (the “Exchange”) acceptance, the Second Year Exercise Price will be reduced from $0.40 per Share to $0.30 per Share for all Warrants except certain Warrants held by insiders of the Company. Currently, insiders of the Company hold approximately 11% of the Warrants. In accordance with the policies of the Exchange, only 549,900 of the Warrants held by insiders of the Company (approximately 10% of the Warrants) will be re‐priced. The remaining 50,100 Warrants held by insiders of the Company (approximately 1% of the Warrants) will not be re‐priced.
None of the Warrants have been exercised to date.
About Central Resources
Central Resources Corp. is a junior mineral exploration company created to leverage the extensive knowledge and experience of a dedicated group of financial and resource industry professionals. The Company has acquired options on several highly prospective mineral properties in the White Gold District of central Yukon, and continues to seek additional opportunities to build shareholder value.
Contact:
Paul Reynolds Tim McNulty President and CEO CFO Central Resources Corp. Central Resources Corp.
Tel: 604‐630‐3731 Tel: 604‐630‐3734 Email: [email protected] Email: [email protected] Website: www.centralres.ca Website: www.centralres.ca 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.
This news release contains forward‐looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. Important factors ‐ including the availability of funds, the results of financing efforts, the results of exploration activities ‐‐ that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward‐looking statements, which speak only as of the date of this press release. The company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward‐looking statements, whether as a result of new information, future events or otherwise.