August 20, 2003
TORONTO, ONTARIO - Tsodilo Resources Limited (TSX Venture Exchange: TSD) is pleased to announce the closing of the private placement previously announced on July 29, 2003.
In a non-brokered private placement, 325,708 units of the Company (the "Units") were issued at a price of $0.50 per Unit for proceeds to the Company of $162,854. Each Unit consists of one common share of the Company and half a warrant of the Company, each full such warrant entitling the holder to purchase one common share of the Company at a price of $0.50 for a period of two years. Mr. James Bruchs, the Chief Executive Officer and a director of the Company is the beneficial purchaser of 25,162 Units, to hold 2,019,774 common shares or 30.66% of the issued and outstanding common shares of the Company. Dr. Andrew Moore, Exploration Vice President and a director of the Company, purchased 20,968 Units, to hold 486,838 common shares, with arms length third parties subscribing for 86% of the Units. Proceeds from this financing will be added to the Company's working capital.
The common shares, warrants and warrant shares are subject to a statutory hold period under securities laws of 12 months, expiring on August 17, 2004 and the certificates evidencing such securities will bear a legend to that effect. Consequently, the common shares, warrants and warrant shares may only be resold during such 12 month period in accordance with appropriate statutory exemptions from the prospectus requirements of the securities laws or if appropriate consents or discretionary orders have been obtained.
Tsodilo Resources is an international diamond exploration company engaged in the search for economic kimberlites at its Ngami and Gcwihaba projects in northwest Botswana. The design and conduct of the Company's exploration program is the responsibility of Dr. Andrew Moore, a professional geologist registered with the South African Council for Natural Scientific Professions.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
FOR FURTHER INFORMATION PLEASE CONTACT:
James M. Bruchs -- President and Chief Executive Officer: E-Mail firstname.lastname@example.org
Dr. Andrew E. Moore -- Vice President, Exploration: E-Mail email@example.com
Stephen Woodhead -- Chief Financial Officer and Corporate Secretary: E-Mail firstname.lastname@example.org
Head Office: Telephone +1 416 572 2033 Facsimile + 1 416 572 4164