VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 16, 2012) -
NOT FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
Sniper Resources Ltd. ("Sniper" or the "Company") (TSX VENTURE:SIP) is pleased to announce that it has closed its previously announced non-brokered private placement of units. The Company issued 1,467,000 units at $0.10 per unit to raise proceeds of $146,700. Each unit consisted of one common share and one warrant exercisable to purchase an additional common share at $0.15 per share until October 15, 2014.
The proceeds of the private placement will be used for working capital purposes.
One officer of the Company purchased 65,000 units under the private placement and, accordingly, the private placement constituted to that extent a "related party transaction" under applicable Canadian securities laws. The Company did not file a material change report more than 21 days before the expected closing of the private placement as the details of the private placement and the participation therein by related parties of the Company were not settled until shortly prior to closing and the Company wished to close the private placement on an expedited basis for sound business reasons.
All securities issued or issuable under the private placement are subject to a hold period under applicable Canadian securities laws expiring on February 16, 2013, in addition to such other restrictions as may be applicable under securities laws outside Canada.
ABOUT SNIPER RESOURCES LTD.
Sniper Resources Ltd. is engaged in the identification, acquisition and exploration of gold properties in the State of Nevada, USA. Sniper owns a 100% interest in the ReHot project, a 70 % interest in the Laura project and holds options to earn a controlling interest in three strategically located Nevada gold projects, namely, Guild, Overland Pass and Weepah.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the Company's securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "1933 Act"), or any state securities laws and may not be offered or sold within the United States or to U.S. persons unless registered under the 1933 Act and applicable state securities laws, or an exemption from such registration is available. Any public offering of securities in the United States must be made by means of a prospectus that contains detailed information about the Company and its management, as well as financial statements.
Sniper Resources Ltd.
Scott Baxter, Chief Executive Officer