Vancouver, February 21, 2007 - Canasil Resources Inc. (Canasil, TSX-V: CLZ) announces that, subject to regulatory approval, the non-brokered private placement of 3,750,000 units at an exercise price of $0.40 per unit for total proceeds of $1,500,000, announced on February 12, 2007, has been increased to 4,000,000 units for total proceeds of $1,600,000. A commission or finders’ fee may be paid with respect to part of this placement. All other terms and conditions remain the same.
Each unit will consist of one common share of the Company and one half share purchase warrant (a “Warrant”); each Warrant will entitle the holder to purchase one common share of the Company at $0.55 within one year from closing. If, beginning six months following the closing of the private placement, the closing price of the Company’s shares equals or exceeds $1.00 per share for a period of ten consecutive trading days, the Company will have the right to accelerate the expiry date of the Warrants by giving the Warrant-holders at least 30 days’ written notice.
The proceeds will be used to fund drill programs on the Company’s silver, gold, zinc and copper projects in Mexico and in British Columbia, Canada, and for general working capital.
Canasil is a Canadian mineral exploration company with interests in precious and base metal properties in British Columbia, Canada, and in Durango, Sinaloa and Zacatecas States, Mexico. The Company’s directors and management include industry professionals with a consistent track record of identifying and advancing successful mineral exploration projects. The Company is actively engaged in the exploration of mineral properties and evaluating additional acquisition opportunities.
The TSX Venture Exchange has not reviewed and does not accept responsibility
for the adequacy or accuracy of the content of this news release.
For further information please contact:
President and C.E.O.
Canasil Resources Inc.