NEW YORK, Dec. 22, 2011 /PRNewswire/ -- Applied
Minerals, Inc. ("Applied Minerals" or the "Company") (OTC BB: AMNL)
is pleased to announce that it has successfully secured
$10 million through the sale of 10
million units to Samlyn Capital, LLC ("Samlyn Capital" or the
"Investor") in a privately negotiated sale. Each unit
consists of one share of common stock priced at $1.00 per share and one half of one common stock
purchase warrant (the "Warrant"). Each full Warrant, to be
exercised on a cash basis only, entitles the holder to purchase
from the Company one additional share of the Company's common stock
at a price of $2.00 for a period of 5
years. The Company has the option to call or redeem the
warrant if not exercised by the investor based on a pre-defined set
of conditions.
The proceeds from the financing will be used to fund the
Company's growth capital expenditure program and general corporate
purposes.
Andre Zeitoun, President and CEO
of Applied Minerals stated: "We are very excited to have received
this financing from such a sophisticated institutional investor as
Samlyn Capital. This financing provides us with meaningful
working capital as well as the ability to invest in a plant
expansion program. This capital program will enable us to both
expand our plant production capacity and enhance our material
processing capabilities in order to meet the growing demand for our
Dragonite™ line of products. The enhanced capabilities will
enable us to further adapt our products to a wider variety of end
markets. Additionally, the company plans to introduce for the first
time, Iron Oxide Pigments from our unique Hematite & Goethite
Iron Ore resource. We continue to be ever more optimistic
about the Company's growth prospects as we enter into 2012.
This financing will serve to expedite and enhance our
aggressive growth plans." The Company will provide
comprehensive details on its capital program in the near
future.
Dahlman Rose & Company, LLC
acted as financial advisor to the Company.
About Applied Minerals.
Applied Minerals is a leading producer of halloysite clay from
its wholly-owned Dragon Mine property
in Utah. Halloysite is an aluminosilicate clay
that forms naturally occurring nanotubes. In addition to
serving the traditional halloysite markets for use in technical
ceramics and catalytic applications, the Company has targeted niche
applications that it feels will benefit from the tubular morphology
of its halloysite. These applications include, but are not limited
to, carriers of active ingredients in paints, coatings and building
materials, agricultural applications and high-performance fillers
in plastic composites.
Statements in this press release that are not historical facts,
and this includes all the statements concerning future-oriented
statements, are "forward-looking statements" within the meaning of
the Private Securities Litigation Reform Act of 1995, and involve a
number of significant risks and uncertainties that could cause
actual results to differ materially from those projected,
anticipated, expected or implied.
Contact:
Applied Minerals, Inc. Investor Relations Contact
Tim Clemensen - Rubenstein Investor
Relations
(212) 843-9337
tclemensen@rubensteinir.com
SOURCE Applied Minerals, Inc.
