Vancouver, Canada, November 18, 2010 --(PR.com
)-- Lucky Strike Resources Ltd. (TSX.V-LKY), (the “Company”) is pleased to announce today that the TSX Venture Exchange has provided final acceptance for the filing documentation with respect to the closing of the Private Placement as described in the press release dated October 26, 2010.
The company closed a non-brokered private placement for gross proceeds of $900,000 through the sale of up to 6 million units (the "Units") of the company priced at 15 cents each. Each Unit consists of one common share of the Company (a "Common Share") and one Common Share purchase warrant (a "Warrant"). Each Warrant entitles the holder to purchase one additional Common Share of the company at an exercise price of $0.20 per Common Share for a period of 2 years following the closing of the private placement.
The securities issued in connection with this Private Placement have a hold period of four months from the date of issuance, which expires on March 16, 2011. The Company has 12,943,967 common shares issued and outstanding after the close of this financing and prior to the issue of any warrant shares from this financing.
The Company will pay finder’s fees of 322,500 common shares of the company in connection with the private placement in accordance with the TSX Venture Exchange policies and not subject to HST.
The proceeds raised from the placement will partially be used to secure the Changyun Coal Project, a further US$150,000 is to be send to completed the require total refundable deposit of US$300,000 as per the LOI. The balanced of the proceeds will be used to continue due-diligence for the acquisition on the Changyun Coal Project, to seek Exchange approval and for general working capital.
Rescheduled annual general meeting (AGM)
The Company’s previously announced annual general meeting (AGM) originally scheduled for November 10, 2010 has been postponed and rescheduled for December 10, 2010. The company will not be required to fix a new record date for the notice of the AGM as the new scheduled date is within the prescribed regulatory dates for mailing of proxy-related materials to shareholders for the meeting.
About the Changyun Coal Project
Located within the Bijie coal fields, Guizhou Province, the Changyun coal mine covers an area of 2.0954 sq. km with valid mining permits for a 150,000 MTPY coal mining operation, which may be expanded to 300,000 - 500,000 MTPY. Local historical reports (non-compliant with NI43-101) state that coal seams within the mine area are highly altered and would produce a low ash, low to medium sulphur (average 0.23%), and low-volatile (7-8% volatile matter) product, with high gross calorific value that ranges from 6400 to 7200 Kcal/kg. The thermal grade coal is suitable for power plant use. A ready market for production exists with the nearby power plants and other end users within Guizhou province.
In addition to the mine, Changyun has recently been provided with preferential rights to explore and develop a 20 sq. km of highly prospective exploration land surrounding the mine.
About Lucky Strike:
Lucky Strike Resources Ltd. is a Canada-based exploration stage company. The Company is engaged in the process of exploring and/or developing coal properties in Guizhou province in China. The Company also has property in Yreka, British Columbia, Canada. The Changyun coal project is a former past producing mine and is located some 25 km northeast of Bijie City in Guizhou province, approximately two hours north by air from Hong Kong. The permitted mine covers a total area of 2.0954 sq. km and is surrounded by approximately 20 sq. km of highly prospective exploration area, where available geological data supports the potential presence of significant coal resources of high quality Anthracite coal within the area. The local area has well established infrastructure for the Changyun project to resume production and coal buyers to pick up coal FOB at the mine site.
On behalf of Management
Lucky Strike Resources Ltd.
Dodge Li, CEO & Director