Platinova financing for zinc project

Toronto-listed Platinova A/S is planning to issue 2 million units, each of which will consist of a Platinova common share and purchase warrant.

The unit price will be based on the average price of the common shares during the 10-day period immediately prior to completion of the prospectus. Two warrants will permit the holder to buy an additional share at a 50 cents premium to the sale price of the unit. The warrants will expire 10 months after the closing date.

Proceeds will be used to explore a zinc discovery in Peary Land, northeast Greenland, where a 10,000-metre drill program has outlined a geological resource of 20 million tonnes grading 8% zinc and 1% lead.

To date, about 40% of the property has been investigated and 12,000 metres of drilling are planned for March, to test the remaining 60%.

There are 38 million shares of Platinova outstanding.