Aura Silver Closes $1.6 Million First Tranche of Brokered Private Placement Financing

NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION TO
U.S. NEWS WIRE SERVICES


Aura Silver Resources Inc. (TSX VENTURE:AUU) ("Aura Silver" or the "Company")
announces that it has closed the first tranche of its brokered private placement
financing issuing 7,670,587 flow-through units (the "FT Units") for gross
proceeds of $1,304,000 and 2,156,667 units (the "Units") for gross proceeds of
$323,500. Union Securities Ltd. ("Union") acted as agent for this financing.


Each FT Unit consists of one flow-through common share and one-half common share
purchase warrant. Each Unit consists of one non-flow-through common share and
one-half common share purchase warrant. Each whole warrant in both the FT Units
and Units entitles the holder to acquire, upon exercise, one non-flow-through
common share at a price of $0.20 per share for a period of 24 months from the
closing date (the "Warrants"). Additionally, Warrants will be callable during
the 24 month period, at the option of the Company, should the Company's common
shares trade above $0.40 for twenty consecutive trading days on the TSX Venture
Exchange. Subscribers will be notified of the call provision being triggered and
will have a 30 day period to exercise the Warrants.


In consideration for their services, agents were paid a cash commission of
$130,200. In addition, agents will receive non-transferrable agent's
compensation options to acquire 982,725 Units. The agent compensation options
will be exercisable for a period of 24 months from the closing date at a price
of $0.15 per Unit. Union will also be reimbursed for legal and other direct
costs of the offering.


The FT Units and Units issued in the offering will be subject to a four month
hold period from the closing date expiring on January 2, 2012. This brokered
private placement is subject to final TSX Venture Exchange acceptance.


Aura Silver intends to use the net proceeds from the sale of Units to fund
further exploration program costs at the Company's Taviche property in Oaxaca,
Mexico held under option with Intrepid Mines from Pan American Silver
Corporation and for working capital and general corporate requirements. Proceeds
from the sale of FT Units will be used to fund ongoing drilling programs and
related exploration costs for the Company's 100% owned Greyhound, Nunavut
project. The flow-through share proceeds will be used to fund these Canadian
exploration expenses prior to December 31, 2012 at the latest. The Company
intends to renounce the qualifying expenditures to subscribers for the year
ended December 31, 2011.


The offered securities will not be registered under the United States Securities
Act of 1933, as amended (the "U.S. Securities Act") and may not be offered or
sold within the United States or to or for the account or benefit of U.S.
persons, except in certain transactions exempt from the registration
requirements of the U.S. Securities Act. This press release does not constitute
an offer to sell, or the solicitation of an offer to buy, securities of the
Company in the United States.


About Aura Silver 

Aura Silver is a TSX Venture listed company engaged in the acquisition,
exploration and development of precious metal prospects in Canada (100% owned
Greyhound project) and in Oaxaca, Mexico. Aura Silver has 97,680,844 common
shares outstanding including the shares issued in this offering.


FORWARD-LOOKING STATEMENTS

This press release may contain forward looking statements that are made as of
the date hereof and are based on current expectations, forecasts and assumptions
which involve risks and uncertainties associated with our business including the
uncertainty as to whether further exploration will result in the target(s) being
delineated as a mineral resource, capital expenditures, operating costs, mineral
resources, recovery rates, grades and prices, estimated goals, expansion and
growth of the business and operations, the private placement financing
activities of the Company, plans and references to the Company's future
successes with its business and the economic environment in which the business
operates. All such statements are made pursuant to the 'safe harbour' provisions
of, and are intended to be forward-looking statements under, applicable Canadian
securities legislation. Any statements contained herein that are statements of
historical facts may be deemed to be forward-looking statements. By their
nature, forward-looking statements require us to make assumptions and are
subject to inherent risks and uncertainties. We caution readers of this news
release not to place undue reliance on our forward-looking statements as a
number of factors could cause actual results or conditions to differ materially
from current expectations. Please refer to the risks set forth in the Company's
most recent annual MD&A and the Company's continuous disclosure documents that
can be found on SEDAR at www.sedar.com. Aura Silver does not intend, and
disclaims any obligation, except as required by law, to update or revise any
forward-looking statements whether as a result of new information, future events
or otherwise.
Gold79 Mines (TSXV:AUU)
Graphique Historique de l'Action
De Mai 2024 à Juin 2024