February 23, 2009
- Tsodilo Resources Limited (the "Company") (TSX Venture Exchange: TSD) is pleased to announce that it has negotiated a non-brokered private placement of 728,061 units of the Company (the "Units") at a price of CDN $0.70 per common share for proceeds to the Company of CDN $509,647. Each Unit consists of one common share of the Company and one a warrant of the Company, each such warrant entitling the holder to purchase one common share of the Company at a price of CDN $0.70 for a period of two years. Closing of this transaction is subject to regulatory approval. Proceeds from this financing will be added to the Company's working capital.
Tsodilo Resources Limited is an international diamond exploration company engaged in the search for economic kimberlites at its Newdico (Pty) Limited ("Newdico') and Gcwihaba Resources (Pty) Limited ("Gcwihaba") projects in northwest Botswana. The Republic of Botswana is the leading producer of diamonds, by value, in the world and the world's second-largest producer by volume. Its mines are amongst the most profitable in the world and they are a member of the Kimberley Process Certification Scheme (KPCS) which imposes extensive requirements on its members to enable them to certify shipments of rough diamonds as 'conflict-free'. The country is democratically ruled, boasting a growing economy and a stable political environment.
The Company has an 94% stake in Newdico (9,400 square kilometers under diamond license) while Trans Hex Group, a South African diamond mining and marketing company, holds the remaining 6%. The southern and northern Gcwihaba project area (4,310 square kilometers under diamond license and 5,400 square kilometers under base and precious metals licenses) is 100% held by the Company. Tsodilo manages the exploration of both the Newdico and Gcwihaba license areas. The Company has offices in Toronto, Canada and Gaborone and Maun, Botswana. Please visit the Company's website, www.TsodiloResources.com, for additional information and background on our projects.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release. This news release may contain assumptions, estimates, and other forward-looking statements regarding future events. Such forward-looking statements involve inherent risks and uncertainties and are subject to factors, many of which are beyond the Company's control, which may cause actual results or performance to differ materially from those currently anticipated in such statements.
FOR FURTHER INFORMATION PLEASE CONTACT:
James M. Bruchs - President and Chief Executive Officer
Head Office: Telephone +1 416 572 2033