Silver Sun Resource Corp. (“Silver Sun” or “the Company”) is pleased to announce that, further to its news releases dated October 9, 2012 and November 1, 2012, it has closed the first tranche of its non-brokered private placement, this first tranche consisting of 4,055,000 Units at a price of $0.12 a Unit for gross proceeds of approximately $486,600. Each Unit is comprised of one common share in the capital of the Company and one non-transferable share purchase warrant, each warrant entitling the holder to purchase one additional common share of the Company until November 16, 2014 at a per share price of $0.17 until November 16, 2013 and $0.25 until November 16, 2014.
Cash finders’ fees in the amount of $3,300 was paid and warrants to acquire an aggregate of 27,500 common shares of the Company until November 16, 2014 at a per share price of $0.17 until November 16, 2013 and $0.25 until November 16, 2014 were issued to an arm’s length finder who introduced the Company to investors.
Shares issued by the Company to the subscribers of the private placement are, and shares which may be acquired upon the exercise of the share purchase warrants will be, subject to a hold period until March 17, 2013, in accordance with applicable securities legislation.
The Company intends to use the proceeds of the private placement for expansion of the Cherry Hill Gold mine in Siskyou County, California and for general working capital and corporate purposes.
About Silver Sun Resource Corp.
Silver Sun Resource Corp. is a Canadian-based resource company focused on the acquisition, exploration and development of precious metal deposits in North America. The Company is in the production stage with its gold project in Yreka, California and engaged in an on-going work program on the Zacatecas, Salvador, and Mina San Jose properties located within the prolific Zacatecas Silver District in Mexico, as well as its Yoreme Silver Project in the mining district of Alamos, Sonora State, Mexico. The Company has an experienced management team with a growth strategy to develop a diversified portfolio of mining projects that can be taken to production in the near-term. The company's design is to add shareholder value through efficient exploration, strategic acquisitions and effective marketing while maintaining a low risk profile through project diversification and sound financial management.