TORONTO, December 4, 2012 -- Canadian Orebodies Inc. (TSXV: CO) ("the Company") is pleased to announce the closing of its previously announced brokered private placement offering led by Marquest Capital Markets and Secutor Capital Management Corp. (collectively, the "Agents") (see the Company's news release dated November 15, 2012) (the "Offering"), pursuant to which an aggregate of 10,000,000 "flow-through" units of securities of the Company (each, a "FT Unit") were sold at a price of $0.20 per Unit, raising gross proceeds of $2 million. Each FT Unit consists of one common share and one-half of one common share purchase warrant (each whole common share purchase warrant, a "Warrant"), each issued on a "flow-through" basis pursuant to the Income Tax Act (Canada) (the "Act"). Each Warrant entitles the holder to purchase one common share of the Company at a price of $0.30 for a period of 18 months from the date of issue.

The aggregate gross proceeds raised from the sale of the FT Units under the Offering will be used by the Company to incur expenditures associated with the exploration and advancement of the Company's Haig Inlet Iron Project, which will constitute "Canadian exploration expenses" (as defined in the Act) and which will be eligible for renunciation to purchasers for the 2012 taxation year.

With respect to certain subscribers, the Agents were paid a cash commission equal to 5% of the gross proceeds of the Offering, and with respect to the remainder of the subscribers, the Agents were paid a cash commission equal to 6% of the gross proceeds of the Offering. The Agents were also issued an aggregate of 570,000 non-transferable warrants of the Company (each, a "Compensation Option"). Each Compensation Option entitles the holder thereof to acquire one unit (each, "Compensation Unit") at a price of $0.20 until June 4, 2014. Each Compensation Unit consists of one common share and one-half of one common share purchase warrant (each whole common share purchase warrant, a "Compensation Warrant"). Each Compensation Warrant has the same terms as the Warrants.

The securities issued under the Offering are subject to a hold period expiring on April 5, 2013.

About Canadian Orebodies Inc.

Canadian Orebodies is a Canadian-based mineral exploration company with a portfolio of properties in Nunavut and Ontario. Canadian Orebodies' primary focus is on advancing and developing its Haig Inlet Iron Ore Project, located on the Belcher Islands in Nunavut. Canadian Orebodies trades on the TSX Venture Exchange under the symbol "CO".

For more information please visit www.canadianorebodies.com or contact:

Gordon McKinnon, President & CEO
Canadian Orebodies Inc.
(705) 268-9000

Jason Monaco (jmonaco@firstcanadiancapital.com)
Jamie Frawley (jfrawley@firstcanadiancapital.com)
Investor Relations
First Canadian Capital Corp.
(416) 742-5600

Forward-Looking Information

This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release includes, but is not limited to, the Company's anticipated use of proceeds and renunciation. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, general business and economic uncertainties, future mineral prices and adverse market conditions, as well as those risks set out in the Company's public documents filed on SEDAR. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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