VANCOUVER, Oct. 26, 2016 - Search Minerals Inc. (TSXV: SMY) ("Search" or the "Company") announces that further to its press releases dated September 13, 2016 and October 11, 2016 it has increased the size of its previously announced private placement (the "Private Placement"). Due to the strong demand from potential investors, the Company will now be proceeding with an offering of a total of up to 12,800,000 units (the "Units") at $0.07 per Unit for gross proceeds of up to $896,000. On October 11, 2016, the Company announced that it had closed the first tranche of the Private Placement raising gross proceeds of $364,000 by the issuance of 5,200,000 Units and the Company anticipates closing the remaining portion of the Private Placement by November 8, 2016. Each Unit will consist of one common share in the capital of the Company and one share purchase warrant (a "Warrant"). Each Warrant will entitle the holder to purchase one additional common share in the capital of the Company (a "Warrant Share") at a price of $0.14 per Warrant Share for a period of twelve months from the closing of the Private Placement.
The Company will use the proceeds from the Private Placement to complete environmental assessment applications and for general working capital requirements.
Closing of the Private Placement is subject to a number of conditions, including receipt of all necessary corporate and regulatory approvals, including the approval of the TSX Venture Exchange. No finder's fees or commissions are payable in connection with the financing.
About Search Minerals Inc.
Led by a proven management team and board of directors, Search is focused on finding and developing resources within the emerging Port Hope Simpson Critical Rare Earth Element (CREE) District of SE Labrador. The Company controls a belt 70 km long and 8 km wide including its 100% interest in the FOXTROT Project which is road accessible and at tidewater. Exploration efforts have advanced "Deepwater Fox" and "Fox Meadow" as significant new CREE prospects very similar and in close proximity to the original FOXTROT discovery. While the Company has identified more than 20 other prospects in the District, its primary objective remains development of FOXTROT by confirming proprietary processing technology at the pilot plant level (in progress) and delineation of prospects that will ensure competitive-low cost production beyond the 14-year mine life contemplated in the preliminary economic assessment of FOXTROT completed in April 2016. The FOXTROT Project has a low capital cost to bring the initial project into production ($152 M), a short payback period and is scalable due to Search's proprietary processing technology.
All material information on the Company may be found on its website at www.searchminerals.ca and on SEDAR at www.sedar.com
About CREE's
Identified as Neodymium (Nd), Europium (Eu), Terbium (Tb), Dysprosium (Dy) and Yttrium (Y) this valuable subset of the complete series of 17 rare earth elements is considered critical due to high demand and/or constrained domestic supply. Containing unique properties which enhance the performance of a range of innovative technologies, CREE's are essential components in the development of permanent magnets and a variety of other components used in renewable energy, green technology automobiles, medical devices, electronics and agricultural production.
Source: Search Minerals
