 Copperstone Air Photo showing Target Zones & Development
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| | May 23, 2002
Short Form Offering Financing Of Up To $2,000,000
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| | AMERICAN BONANZA GOLD MINING CORP. (the "Corporation") is pleased to announce it intends to carry out a public offering to raise up to $2,000,000 (Minimum $1,500,000) through the sale of units by way of a Short Form Offering Document ("SFOD") to purchasers in British Columbia and Alberta and such other jurisdictions as the offering may legally be sold. Under the SFOD, the Corporation, through its Agent, Canaccord Capital Corporation, will offer up to 15,384,600 units at a price of $0.13 per unit. Each unit will be comprised of one Common Share and one transferable Common Share Purchase Warrant ("Warrant"). Each Warrant will entitle the holder to acquire one additional Common Share for a period of two years at a price of $0.15 in the first year and $0.17 in the second year. An application will be made to The TSX Venture Exchange to list the Warrants.|
Canaccord as agent for this offering will be paid an agent fee of 8.5% on the aggregate gross proceeds, agent warrants equal to 15% of the number of units sold and a corporate finance fee and a corporate finance fee payable in units.
The proceeds of this offering will be used primarily for the exploration and further development of the Copperstone project. With direct reference to the Corporation's press release dated March 4, 2002 the Copperstone project has an estimated total resource of 2.1 million tons at an average uncut grade of 0.58 ounces of gold per ton, containing over 1.2 million ounces of gold. Additionally, the Corporation will drill test extensions of known high-grade mineralisation on its 100% owned Pamlico project.
About American Bonanza
American Bonanza is engaged in the acquisition, exploration and development of high-grade precious metal properties. American Bonanza's innovative metallogenic techniques developed at considerable expense represent state-of-the-art tools for modern exploration in the Great Basin of Nevada and other areas. American Bonanza's metallogenic techniques have involved technical pioneering in terms of geological data analysis, hardware and software applications and will be the catalyst for future corporate growth.
Additional information about American Bonanza can be obtained at www.americanbonanza.com
AMERICAN BONANZA GOLD MINING CORP.
(signed) Brian Kirwin
President and Chief Executive Officer
The TSX Venture Exchange has not reviewed and does not accept responsibility
for the adequacy or accuracy of this release. |
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