Searchlight Minerals Corp. raises $4.87 million from exercise of warrants
June 09 2006 - 10:00AM
PR Newswire (US)
HENDERSON, NV, June 9 /PRNewswire-FirstCall/ -- Searchlight
Minerals Corp. (OTC BB: SRCH) (the "Company"), today announced that
the Company has raised $4.87 million from the exercise of 100% of
the outstanding warrants issued in connection with the three
private placements closed in September, 2005. In connection with
the exercise of the warrants, 8.506 million shares will be issued
to the warrant holders increasing the Company's outstanding common
shares to approximately 65.78 million. The proceeds from the
warrant exercise are intended to be used primarily for: - The
funding of Phase II of the Clarkdale Slag Reclamation Project in
northwestern Arizona, including a feasibility study; and -
Additional metallurgical testing at the Searchlight Gold Project in
southern Nevada. "We are very pleased with the warrant exercise,
which is expected to allow us to move forward with a 'pilot' plant
in Phoenix designed to validate the metals processing circuit,
determine operating and capital costs, and identify the equipment
to be used at a future 2,000 ton-per-day commercial scale metals
recovery facility at Clarkdale," commented Ian McNeil, President
and Chief Executive Officer of Searchlight Minerals Corp. "We
expect to begin processing slag at the 'pilot' plant during the
third quarter, and the entire feasibility study is anticipated to
be completed by the end of 2006. The 'pilot' plant is intended to
provide samples of the ferro-silicate tailings that will remain
after the recovery of precious and base metals from the slag. This
is expected to allow us to provide ferro-silicate samples to
prospective users, including cement producers, as part of our
market research activities." "We have also budgeted approximately
$650,000 for additional metallurgical testing of surface samples
from our Searchlight Gold Project, which is intended to be funded
by the capital raised through the warrant exercise," continued Mr.
McNeil. "If the results of such metallurgical tests are favorable,
we may proceed with a drilling program and feasibility study to
evaluate the economics of a mining and milling project to recover
sub-micron gold from the 3200-acre Searchlight property." About
Searchlight Minerals Corp. Searchlight Minerals Corp. is a dynamic
minerals exploration company focused on the acquisition and
development of projects in the southwestern United States. The
Company is currently involved in two projects: (1) the Clarkdale
Slag Reclamation Project, which seeks to recover base and precious
metals from the reprocessing of slag material produced from the
smelting of copper ores from former mines in Jerome, Arizona; and
(2) the Searchlight Gold Project, which involves the exploration
for precious metals on mining claims near Searchlight, Nevada.
Searchlight Minerals Corp. is headquartered in Henderson, Nevada,
and its common stock is listed on the OTC Bulletin Board under the
symbol "SRCH". For additional information, please visit the
Company's website at http://www.searchlightminerals.com/. This news
release contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Act of 1934. These forward-looking statements are based
largely on the expectations or forecasts of future events, can be
affected by inaccurate assumptions, and are subject to various
business risks and known and unknown uncertainties, a number of
which are beyond the control of management. Therefore, actual
results could differ materially from the forward-looking statements
contained in this press release. A wide variety of factors that may
cause actual results to differ from the forward-looking statements
include, but are not limited to, the following: there is no
assurance that if the Company completes a feasibility study that
the results will support a production decision, the Company's
limited operating history, uncertainties about the availability of
additional financing, geological or mechanical difficulties
affecting the Company's planned geological work programs,
uncertainties involving estimates of mineralized material,
operational risks, environmental risks, financial risks, currency
risks, the dependence on joint venture partners, and other risks
discussed in the Company's periodic report filings with the
Securities and Exchange Commission. These cautionary statements
should not be construed as exhaustive or as any admission as to the
adequacy of the Company's disclosures. The Company cannot always
predict or determine after the fact what factors would cause actual
results to differ materially from those indicated by the
forward-looking statements or other statements. The reader should
consider statements that include the words "believes", "expects",
"anticipates", "intends", "estimates", "plans", "projects", or
other expressions that are predictions of or indicate future events
or trends, to be uncertain and forward-looking. The Company does
not undertake to publicly update or revise forward-looking
statements, whether as a result of new information, future events
or otherwise. For Additional Information, Please Contact: Ian
McNeil, President and CEO at (702) 939-5247 or via email at
DATASOURCE: Searchlight Minerals Corp. CONTACT: Ian McNeil,
President and CEO at (702) 939-5247 or via email at
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