Aureus Mining Inc. closing of US$15 million offering

CNW Group

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TSX : AUE

AIM : AUE

TORONTO , April 22, 2014 /CNW/ - Aureus Mining Inc. ("Aureus" or the "Company") is pleased to announce that it has closed its previously announced brokered offering of 33,375,000 Units (as defined below) at a price of £0.27 per Unit (the "Issue Price") to raise gross proceeds of approximately £9.0 million (approximately US$15.0 million ) (the "Offering"). The Offering was completed by a syndicate of underwriters led by GMP Securities L.P. and including Clarus Securities Inc. and Numis Securities Limited.

Each Unit is comprised of one common share of the Company, or where applicable, a depository interest representing the same (each, a "Share") and one half of one common share purchase warrant of the Company (each whole common share purchase warrant, a "Warrant").  Each Warrant will entitle the holder thereof to purchase one Share at a price of £0.378 (or the prevailing C$ equivalent thereof) (which is at a 40% premium to the Issue Price) up to and including 22 October 2017 .

Following the completion of the Offering the Company's issued share capital consists of 286,130,668 common shares.

The securities were offered and sold on a private placement basis to accredited investors in Canada . The securities have not been and will not be qualified for sale to the public under applicable Canadian securities laws and, accordingly, any offer and sale of the securities in Canada will be made on a basis that is exempt from the prospectus requirement of such securities laws.

This press release is for informational purpose only and does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States or any other jurisdiction in which such an offer or solicitation is unlawful. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended, (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the U.S. Securities Act and applicable state laws. No public offering of securities will be made in the United States .

About Aureus Mining Inc.

The Company's assets include the New Liberty gold deposit in Liberia (the "New Liberty Gold Project", "New Liberty" or the "Project"), which has an estimated proven and probable mineral reserve of 8.5 Mt with 924,000 ounces of gold grading 3.4 g/t and an estimated measured and indicated mineral resource of 9,796 Kt with 1,143,000 ounces of gold grading 3.63 g/t and an estimated inferred mineral resource of 5,730 Kt with 593,000 ounces of gold grading 3.2 g/t.  A Definitive Feasibility Study has been completed on the Project and construction has commenced with earthworks.  The Project is expected to have an 8 year mine life and annual production of 119,000 ounces for the first 6 years of production.  The Company has financed the Project's equity and debt funding requirement. The foregoing mineral reserve and mineral resource estimates and additional information in connection therewith are set out in the Company's technical report dated July 3, 2013 and entitled "New Liberty Gold Project, Liberia , West Africa , Updated Technical Report".

The New Liberty Gold Project is located within the Southern Block of the 100% owned Bea Mountain mining licence. This licence covers 457 km² and has a 25 year, renewable, mineral development agreement.  The Northern Block of the Bea Mountain mining license also hosts additional gold projects of Ndablama, Gondoja and Weaju, which are the focus of exploration programs during 2013.  Ndablama has an inferred mineral resource of 6,829 Kt with 451,000 ounces of gold grading 2.1 g/t and Weaju has an inferred mineral resource of 2,680 Kt with 178,000 ounces of gold grading 2.1 g/t.  The Archaen Gold exploration licence, which covers 89 km², is also a focus of exploration for 2013, with Leopard Rock being the main target.  The Yambesei (759 km2), Archaen West (112.6 km2), Mabong (36.6 km2) and Mafa West (15.6 km2) licences will also be subject to preliminary reconnaissance geological work. The foregoing mineral resource estimates and additional information in connection therewith are set out in the Company's technical report dated November 11, 2013 and entitled "Ndablama and Weaju Gold Projects, Bea Mountain Mining Licence, Northern Block, Technical Report on Mineral Resources".

The Company also has gold exploration permits in Cameroon .

Qualified Persons

The Company's Qualified Person is David Reading , who holds a MSc in Economic Geology from University of Waterloo , Canada and is a Fellow of the Institute of Materials, Minerals and Mining. David Reading is the President and CEO of Aureus Mining Inc. and approves this press release.

Forward Looking Statements:

Certain information in this news release relating to Aureus Mining is forward-looking and related to anticipated events and strategies. When used in this context, words such as "will", "anticipate", "believe", "plan", "intend", "target" and "expect" or similar words suggest future outcomes. By their nature, such statements are subject to significant risks and uncertainties that may cause actual results or events to differ materially from current expectations, including: risks normally incidental to exploration and development of mineral properties; uncertainties in the interpretation of results from drilling and test work; the possibility that future exploration, development or mining results will not be consistent with expectations; regulatory and government decisions; the possibility that future draw downs under the Facilities may not be available; construction of the New Liberty Gold Project being delayed and/ or over budget; economic conditions; availability and cost of financing; estimates of capital and operating costs and start-up costs; plans regarding construction activities; and future unforeseen liabilities and other factors including, but not limited to, those listed under "Risk Factors" in the Company's Annual Information Form, a copy of which is available on SEDAR at www.sedar.com, and in the Aureus Mining Admission Document, a copy of which is available at www.aureus–mining.com. Readers are cautioned not to place undue reliance on forward-looking statements as actual results could differ materially from the plans, expectations, estimates or intentions expressed in the forward-looking statements. Forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable law, Aureus Mining disclaims any obligation to update or modify such forward-looking information, either as a result of new information, future events or for any other reason.

Any mineral resource and mineral reserve figures referred to in this press release are estimates and no assurances can be given that the indicated levels of minerals will be produced. Such estimates are expressions of judgment based on knowledge, mining experience, analysis of drilling results and industry practices. Valid estimates made at a given time may significantly change when new information becomes available. While the Company believes that the mineral resource and mineral reserve estimates in respect of its properties are well established, by their nature mineral resource and mineral reserve estimates are imprecise and depend, to a certain extent, upon statistical inferences which may ultimately prove unreliable. If such mineral resource and mineral reserve estimates are inaccurate or are reduced in the future, this could have a material adverse impact on the Company. Due to the uncertainty that may be attached to inferred mineral resources, it cannot be assumed that all or any part of an inferred mineral resource will be upgraded to an indicated or measured mineral resource as a result of continued exploration. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

SOURCE Aureus Mining Inc.

Contact:
Aureus Mining Inc., David Reading / Paul Thomson, Tel: +44(0) 20 7010 7690; Buchanan, Bobby Morse / Gordon Poole, Tel: +44(0) 20 7466 5000; Numis Securities Limited (Nominated Adviser and Joint Broker), John Prior / James Black, Tel: +44(0) 20 7260 1000; GMP Securities Europe LLP (Joint Broker), Richard Greenfield / Alexandra Carse, Tel: +44(0) 20 7647 2800

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