| Solomon Closes Unit and ‘Flow-Through’ Unit Private Placement |
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Armstrong, B.C. – Monday, July 26th, 2010. Solomon Resources Limited (SRB: TSX-V) has closed its Unit and „Flow through‟ Unit Private Placement announced on June 17th, 2010 by issuing 1,880,000 units at CAD$0.15 per unit for proceeds of $282,000 and 1,375,111 „flow through‟ units at CAD$0.18 per unit for proceeds of CAD$247,520. Total gross proceeds were $529,520. Each unit consisted of one common share and one transferable share purchase warrant to purchase a further (non-flow through) common share for $0.30 for a period of two years. The expiry date of the warrants may be reduced to 25 trading days after notice thereof if the average closing price of the common shares equals or exceeds $ 0.50 for 20 consecutive days after the four month restricted resale period expires on November 24, 2010. Finders‟ fees of 8% were paid on funds raised from investors introduced by finders. The finders were also issued non-transferable warrants to purchase that number of (non-flow through) units equal to 8% of the number of units from investors introduced by them. The finder warrants are exercisable for two years at $0.18 per unit ($0.15 per unit for the non-flow through units) in the first year and $0.30 per unit in the second. “We are pleased with the outcome of this financing in the light of difficult market conditions” said President and CEO Randy Rogers. “We are also pleased to welcome several new shareholders to the Company.” The proceeds of this placement will be used to continue the exploration and development of Solomon‟s Yukon properties and essential corporate overhead. “During the next few weeks we will have analyzed results from our surficial geological, geophysical and geochemical work and mechanized trenching at our Ten Mile Creek property in the White Gold District south of Dawson City and we will make a decision as to diamond drill targets for a proposed late summer drill program” said Rogers.
About Solomon Resources Ltd.: Solomon Resources Ltd. is a Canadian public company focused on the acquisition, exploration and development of quality mineral properties worldwide. Solomon is managed by a proven team of exploration geologists involved with the discovery and development of a number of significant mineral deposits including the Snip and Eskay Creek deposits in British Columbia and the Brewery Creek deposit in the Yukon Territory. Solomon is currently focused on the exploration of the Ten Mile Creek Gold Project in the White Gold area of the Yukon Territory and the Cry Lake Gold Project in British Columbia and actively seeking a joint venture partner for the Baruunbaayan Uranium Project in Mongolia.
About MineralFields, Pathway and First Canadian Securities®: The MineralFields Group of Toronto, Ontario purchased $100,000 of the „flow-through‟ units. MineralFields Group (a division of Pathway Asset Management) based in Toronto, Montreal, Vancouver and Calgary, is a mining fund with significant assets under administration that offers its tax-advantaged super flow-through limited partnerships to investors throughout Canada as well as hard-dollar resource limited partnerships to investors throughout the world. Pathway Asset Management also specializes in the manufacturing and distribution of structured products and mutual funds (including the Pathway Multi Series Funds Inc. corporate-class mutual fund series). Information about MineralFields Group is available at www.mineralfields.com. First Canadian Securities ® (a division of Limited Market Dealer Inc.) is active in leading resource financings (both flow-through and hard dollar PIPE financings) on competitive, effective and service-friendly terms, and offers investment banking, mergers and acquisitions, and mining industry consulting, services to resource companies. MineralFields and Pathway have financed several hundred mining and oil and gas exploration companies to date through First Canadian Securities®.
For additional information visit Solomon‟s website at www.solomonresources.ca or contact: Randall S. Rogers, President and Chief Executive Officer Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accept responsibility for the adequacy or accuracy of this release.
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