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Dayton Announces $16 Million Financing
January 11, 1996 Dayton Mining Corporation is pleased to announce that an underwriting group led by Nesbitt Burns Inc., and including Scotia McLeod Inc. and Canaccord Capital Corporation, have entered into an underwriting agreement to purchase 2,500,000 Special Warrants of Dayton Mining Corporation at a price of $6.50 per Special Warrant for total proceeds of $16,250,000. The transaction is subject to regulatory approval.
Each Special Warrant is exercisable into a unit consisting of one common share plus one- half of a warrant. Each warrant is exercisable at $7.00 per share for 18 months. The proceeds of the offering will be used for exploration and development, corporate development acquisition and general corporate purposes.
Wayne McClay, Dayton's President and Chief Executive Officer, stated that "this financing will enable Dayton to use existing cash flow from operations to expand the production facilities at the Company's 100% Andacoflo Gold Mine. In addition the proceeds from the offering will be used to increase reserves, and to evaluate acquisition opportunities which will assure the corporate growth of the Company."
In 1996 Andacollo is expected to produce more them 130,000 ounces of gold at an operating cost of approximately US$150 per ounce. Total Reserves are presently 2.2 million ounces of gold, and are expected to increase as a result of an exploration/drill program currently in progress at the property.
Dayton Mining Corporation is listed on the American (AMEX) and Toronto (TSE) Stock Exchanges under the trading symbol; DAY.
Trading
Symbol: DAY
Exchanges:
American Stock Exchange
Toronto Stock Exchange
Dayton Mining Corporation
Suite 2453
Three Bentall Centre
595 Burrard Street
P.O. Box 49186
Vancouver, B.C. V7X 1K8
Phone FAX or E-mail today to obtain further information
PHONE: (604) 662-8383 FAX: (604) 684-1329
E-maildmining@dayton-mining.com
for more information