Vancouver, B.C. ... Highland Resources Inc. (the "Company") announces it has arranged a non-brokered private placement for gross proceeds of up to $1,500,000. The private placement will consist of:
up to 4,000,000 flow-through common shares (the "Shares") at a price of $0.15 per Share; and
up to 6,000,000 non-flow-through Units (the "Units") at a price of $0.15 per Unit. Each Unit will consist
of one common share of the Company and one-half non-transferable share purchase warrant (the
"Warrant"). Each whole Warrant will entitle the holder to purchase one additional common share of the
Company at a price of $0.20 if exercised in the first year, or $0.30 if exercised in the second year.
The net proceeds of the private placement will be added to working capital and will be used to finance the 2009 - 2010 exploration program for the Rickaby Property designed by GeoVector Management Services Inc. ("GeoVector") of Ottawa, Ontario. GeoVector was engaged by the Company to manage the exploration program on the Rickaby Property this summer and completed the initial field work (see press release of June 23, 2009).
The Rickaby property is a high-grade gold prospect comprised of 88 mineral claims over 18,624 acres in the Beardmore-Geraldton Belt in the Thunder Bay Mining District, adjacent to Kodiak Exploration's Hercules project and 30km west of the Premier Gold Mines. The Beardmore-Geraldton Greenstone belt has produced 4,371,300 ounces of gold from 24 operations. Exploration by Kodiak on their Hercules gold project has produced drill results including 15.59 g/t Au over 16.60 m (Kodiak, September 19, 2006), with recent exploration defining long strike length zones of gold-bearing quartz veins including channel sampling with 32.96 g/t over 11.6m (Kodiak, October 1, 2007). This exploration has illustrated the high potential tenor and size of the targets that are currently on Highland's property.
Premier Gold Mines is also in the same area, and recently intersected one of the highest gold results in the Beardmore-Geraldton district on their Hardrock property. Hole EP 105 intersected 1,141.54 g/t Au over 2.0m including 2,535 g/t over 0.90m (True widths estimated at 70 percent) (Premier, September 14, 2009).
The private placement is subject to TSX Venture Exchange (the "Exchange") acceptance and required regulatory approvals. All of the securities issued pursuant to this offering will have a hold period expiring four months after the closing date.
A finder's fee will apply in this transaction in accordance with the policies of the Exchange.
ON BEHALF OF THE BOARD
Signed "Roger Blair"
Roger Blair, President
FOR FURTHER INFORMATION PLEASE CONTACT:
Contact: Roger Blair
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.