Vancouver, B.C. -
Augusta Resource Corporation (the “Company”) is pleased to announce
that it has increased the size of its previously announced brokered
private placement to $40,090,000. The increased offering will consist of
21,100,000 Special Warrants at a price of $1.90 per Special Warrant. In
addition, the Agents have the option to increase the size of the
offering by 10%, or 2,110,000 Special Warrants, to cover
oversubscriptions (the “Oversubscription Option”). If the
Oversubscription Option is exercised, the Company will issue a total of
23,210,000 Special Warrants for gross proceeds of approximately $44
million. The offering is expected to close on or about March 17, 2006,
and the deadline to obtain receipts for a prospectus qualifying the
distribution of the shares and warrants underlying the Special Warrants
has been extended to April 30, 2006. All of the other terms of the
proposed financing remain the same as those disclosed in the Company’s
February 10, 2006 news release. Completion of the financing remains
subject to regulatory approval.
About the Company
Augusta is a mineral exploration and
development company responsibly advancing copper and other base metal
assets in the U.S. southwest. The Company’s Rosemont Property is located
in Pima County, approximately 50 km southeast of Tucson, Arizona, and
contains three known potentially open-pit copper/molybdenum (“Cu/Mo”)
deposits. Augusta has additional exploration properties in Nevada and
New Mexico. The Company is traded on the Canadian TSX Venture Exchange
under the symbol ARS.
For additional information please visit www.augustaresource.com or contact:
ON BEHALF OF THE BOARD OF DIRECTORS
“Gil Clausen”
_________________________
Gil Clausen
President and CEO
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES
FORWARD LOOKING STATEMENTS
The statements that are not historical facts are forward-looking statements involving known and unknown risks and uncertainties that could cause actual results to vary
materially from targeted results. Such risks and uncertainties include
those described from time to time in the Corporation's latest annual
report and management discussion and analysis. The Corporation assumes
no obligation to publicly update any forward-looking statements, whether
as a result of new information, future events or otherwise.