SouthGobi Resources Announces Completion of Private Placements

SouthGobi Resources Ltd. (TSX: SGQ) announced the completion of the private placements for the issue of new common shares for gross proceeds of US$9 million. It also announced that on December 3, 2014 it paid the November 2014 cash interest instalment due on the secured convertible debenture held by a wholly owned indirect subsidiary of China Investment Corp. (CIC).

As quoted in the press release:

• The Company has successfully completed the private placements, as announced on December 1, 2014, with independent investors through Yue Xiu Securities Co. Ltd.
• The total gross proceeds from the private placements are US$9.0 million (US$8.9 million net after fees) through the issue of 24,360,773 Common Shares at CAD $0.42 per share.
• The proceeds from the private placements have paid in full the November 2014 installment of the cash interest due on the CIC convertible debenture with the balance providing additional working capital.
• The private placements have increased the total number of Common Shares in the Company to 218,751,008.

Click here to read the SouthGobi Resources Ltd. (TSX: SGQ) press release.