Rio Grande Appoints New CFO Proposes Consolidation of Common Shares
Rio Grande Mining Corp.
Suite 1130, 789 West Pender Street Vancouver, BC, V6C 1H5 Tel: (604) 669-9330 Fax: (604) 669-9335
FOR IMMEDIATE RELEASE March 28, 2013
RIO GRANDE APPOINTS NEW CFO PROPOSES CONSOLIDATION OF COMMON SHARES
Vancouver, BC, March 28, 2013: Rio Grande Mining Corp. (RGV - TSX-V) (the “Company”) announces the appointment of Mr. Dusan Berka, a current director of the Company, as Chief Financial Officer of the Company, replacing Mr. Blair Way. The Company would like to thank Mr. Way for his work over the past year.
The Company also announces that at its annual general and special meeting scheduled for April 29, 2013, shareholders will be asked to consider and if thought fit, approve a special resolution consolidating all of its common shares on a seven (7) old for one (1) new common share basis or such lower ratio as the directors may determine. There are currently 37,966,836 common shares issued and outstanding, and if the proposed consolidation of seven old for one new share takes place, there would be approximately 5,423,833 common shares issued and outstanding. The exact number of post-consolidated shares will vary depending on the treatment of fractional shares, which will occur when each shareholder's holdings in the Company are consolidated. Outstanding stock options and share purchase warrants will also be adjusted by the consolidation ratio and the respective exercise prices of outstanding stock options and warrants will be adjusted accordingly. The Company will not be changing its name in conjunction with the consolidation. The consolidation is subject to the acceptance of the TSX Venture Exchange.
Management of the Company believes that further equity financing is required in order for the Company to fund its current working capital requirements and for future business purposes. It is management's opinion that the Company will only be able to complete equity financing if the consolidation takes place.
On behalf of the Board of Directors,
John Bevilacqua President & CEO Rio Grande Mining Corp.
(604) 669-9330
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.
Certain of the statements made and information contained in this press release may constitute forward-looking information within the meaning of applicable securities legislation. All information and statements which are not historical fact constitute forward-looking information and, in many cases, can be identified by words such as "may", "will", "expect", "plan", "anticipate", "believe", "estimate", "potential", or other similar terminology. The forward-looking information contained in this press release is based on the reasonable expectations and beliefs of management as at the date of this press release and involves numerous assumptions, known and unknown risks and uncertainties, both general and specific to the Company and the industry in which the Company operates. Such assumptions, risks and uncertainties include, but are not limited to future prices of fluorspar, the factual results of current exploration, development and mining activities, changes in project parameters as plans continue to be evaluated as well as those factors disclosed in the Company’s documents filed from time to time with the securities regulators in the provinces of British Columbia and Alberta. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results, performance or achievements of the Company, or industry results, may vary materially from those described in this press release. Accordingly, readers are advised not to place undue reliance on forward-looking information. Except as otherwise required by law, the Company does not intend to and assumes no obligation to update or revise forward-looking information, whether as a result of new information, plans, events or otherwise.