Hana Mining announces $2.5M private placement

Hana Mining Ltd. has arranged a non-brokered private placement of up to $2,500,000.

The non-brokered private placement consists of up to 7,142,857 units (the “Units”) at a price of $0.35 per Unit. Each Unit will consist of one common share and one-half of one non-transferable share purchase warrant. Each whole share purchase warrant will entitle the holder to purchase one additional common share of the Company for a period of 18 months from the closing date of the placement (the “Closing Date”), at a price of $0.75 per share.

In the event that the Company’s common shares trade on the TSX Venture Exchange at or above the daily volume weighted average trading price of $1.00 for 20 consecutive trading days at any time after four months and one day after the Closing Date, the Company may accelerate the expiry date of the warrants by giving notice to the holders thereof and in such case the warrants will expire on the 30th day after the date on which such notice is given by the Company.

The Company has agreed to pay a finder’s fee of 7% in connection with a portion of the private placement and the finder may elect to take all or a portion of the fee in Units.

The private placement is subject to acceptance by the TSX Venture Exchange.

The net proceeds of the private placement will be used to fund ongoing exploration of its highly prospective Ghanzi Copper-Silver Project located in the Republic of Botswana including increasing the number of drilling rigs on the property and to develop the property’s mineralization into proven, indicated and inferred resource categories.

The offered securities will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) and may not be offered or sold within the United States or to or for the account or benefit of U.S. persons, except in certain transactions exempt from the registration requirements of the U.S. Securities Act.