TSX.V: AMO
VANCOUVER,
May 20, 2014 /CNW/ - Altan Rio
Minerals Limited (the "Company" or "Altan Rio") announces that it
has closed its previously announced private placement (the "Private
Placement") with European Bank for Reconstruction and Development
("EBRD"). Pursuant to the Private Placement, the Company has issued
to EBRD 16,666,000 common shares at $0.06 per share, for gross proceeds of
$999,960. Following closing of the
Private Placement EBRD holds 16,666,000 common shares of the
Company, representing approximately 18.7% of the issued and
outstanding common shares of the Company.
EBRD has 61 shareholders (59 Governments and 2
International Institutions) and invests in 29 countries from
central Europe to central
Asia. EBRD is the largest
institutional investor in Mongolia. Mongolia became an EBRD country of operations
in October 2006 and since the
beginning of its operations in Mongolia, the EBRD has committed through debt
and equity investments more than US$ 684
million to the Mongolian private sector through 52 projects
in sectors ranging from banking to manufacturing and from mining to
agribusiness.
Mr Evan Jones,
President & CEO of Altan Rio
commented:
"We are delighted to have attracted a partner of
the calibre of EBRD."
"As shareholders will be aware, the ability for
junior explorers such as Altan Rio
to raise capital to fund ongoing activities is somewhat limited in
the current market environment. As such, by entering into this
agreement, Altan Rio has
substantially reduced financing uncertainty."
The Private Placement is the first tranche of a
potential investment in the Company by EBRD of a minimum of
$5,000,000 and a maximum of
$10,000,000 under a subscription
agreement and framework agreement between the parties (the
"Financing Agreements"). Subsequent tranches under the
Financing Agreements remain subject to a number of conditions
precedent. For additional information regarding the Private
Placement and the Financing Agreements see the Company's press
releases dated January 8 and
February 20, 2014.
The common shares issued under the Private
Placement are subject to a four month hold period under applicable
securities laws and exchange policies, expiring September 17, 2014.
About Altan
Rio
Altan Rio, founded in 2007, is based
in Vancouver BC, Canada. Using innovative exploration targeting
techniques and leveraging long-term in-country experience, the
company explores large-scale gold and copper projects in
Mongolia, one of the world's most
prospective mineral regions. The Company's license holdings in
Mongolia, which total more than
103,341 hectares (255,361 acres), contain significant zones of
newly identified primary gold and copper mineralization across a
very large area of unexplored ground.
On behalf of Altan Rio Minerals Limited,
"Evan Jones"
Evan Jones, President &
CEO
This press release may contain forward looking statements
including those describing Altan
Rio's future plans and the expectations of management that a
stated result or condition will occur. Any statement addressing
future events or conditions necessarily involves inherent risk and
uncertainty. Actual results can differ materially from those
anticipated by management at the time of writing due to many
factors, the majority of which are beyond the control of
Altan Rio and its
management.
Neither the 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.
SOURCE Altan Rio Minerals Limited