Portofino acquires $300,000 Financing for Red Lake

PORTOFINO RESOURCES INC. reports that due to overwhelming interest in its previously announced, oversubscribed $550,000 private placement, the Company announces a $300,000 placement consisting of up to 6 million Units priced at $0.05/Unit. Portofino insiders intend to subscribe for a minimum 2 million units. 

David Tafel, Portofino's CEO comments: "We appreciate the strong support from our current shareholders and new investors during a tumultuous and uncertain economic time and we are determined to work hard to increase our Company's value. Due to Exchange restrictions on the amount of funds the Company could accept into the previous ($0.035) financing and the market value at time of closing (April 24), insiders decided not to invest to ensure maximum availability for non-insider investors. Insiders will instead invest in the current, higher priced ($0.05) placement."

Proceeds from this financing shall be used by the Company for project exploration activities, currently focused on its South of Otter (Red Lake) gold project and general corporate purposes which includes pursuing other potential precious metal project opportunities. The South of Otter property hosts targets for both Red Lake-style gold mineralization, as well as gold bearing base metal prospects. Historical work on the property includes prospecting, sampling, airborne magnetic geophysical surveys as well as limited drilling.

Each Unit consists of one common share and one 2-year common share purchase warrant. Each whole warrant is exercisable for one Common Share of the Company for a period of 24 months from closing at an exercise price of $0.05. 

 

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