Mr. Richard Munson reports
SANDSPRING RESOURCES ANNOUNCES NON-BROKERED PRIVATE PLACEMENT
Sandspring Resources Ltd. has arranged a non-brokered private placement of 24 million units at a price of 12.5 cents per unit for gross proceeds of up to $3-million. Each unit consists of one common share of the company and one share purchase warrant entitling the holder to purchase one share at 16.5 cents for a period of five years from the date of issuance. It is anticipated that insider Gran Colombia Gold Corp. will purchase approximately two-thirds of the private placement subject to TSX Exchange approval. A finder's fee may be payable in association with this financing to arm's-length purchasers.
The company intends to use the proceeds to continue work on the rescoping of the Toroparu project, additional exploration at its Chicharron project and for general working capital.
Completion of the private placement is subject to the acceptance for filing of the TSX Venture Exchange. The securities issued by the company in connection with this offering are subject to a four-month hold period as prescribed by the TSX-V and applicable securities laws.
About Sandspring Resources Ltd.
Sandspring is a Canadian junior mining company currently moving toward a feasibility study for the Toroparu project in Guyana, South America, with 7.4 million ounces of gold in the measured and indicated categories. A prefeasibility study completed in May, 2013, outlined the design of an open-pit mine producing more than 200,000 ounces of gold annually over an initial 16-year mine life. Sandspring and Wheaton Precious Metals (formerly known as Silver Wheaton) entered into a precious metals purchase agreement for the Toroparu project in November of 2013. Sandspring also holds a 100-per-cent interest in the Chicharron gold project located in the Segovia-Remedios mining district, Antioquia, Colombia.
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