Kingsmen Resources Closes $1 Million Private Placement

Kingsmen Resources Ltd. announced the completion of its private placement financing, which generated gross proceeds of $1,000,000. The company issued 4,000,000 units at $0.25 per unit, with each unit comprising one common share and one common share purchase warrant.

The warrants allow holders to purchase an additional common share at $0.40 for two years following the closing. Kingsmen stated the proceeds will be used to further advance its Las Coloradas Silver/Gold project located in Mexico and for general working capital. No finder's fees were paid.

An insider of the company purchased 60,000 units as part of the private placement. This participation was classified as a related party transaction but was exempt from formal valuation and minority shareholder approval requirements as it did not exceed 25% of the company's market capitalization.

The company's primary focus is the Las Coloradas Project in Mexico. Kingsmen Resources also aims to identify other metallic mineral deposits in Mexico and holds a 1% Net Smelter Return royalty on the La Trini Project.