Toronto, Ontario, Canada September 29 2008 Sulliden Exploration Inc. (TSX: SUE) announces that it has received notice to exercise 5,714,286 warrants from the Warrant Series 2008-I issued to Aberdeen International Inc. and related party (“Aberdeen”) as part of the private placement completed with Aberdeen on April 4, 2008.
Each warrant issued to Aberdeen entitled the holder to purchase one common share of the Company at an exercise price of $0.45 per common share for a period of 18 months. Notwithstanding the noted warrant term, if the volume weighted average price of the common shares of the Company trading on the Toronto Stock Exchange (“TSX”) was $0.75 or higher for 20 consecutive trading days, the Company may accelerate the expiry date of the warrants by giving notice to the warrant holders who will have 40 business days to exercise, failing which their warrants automatically expire. Sulliden delivered notice as of June 24, 2008 to Aberdeen that this condition had been met and the accelerated expiry date was set as September 30, 2008.
Proceeds from the offering will be used to finance the Company's ongoing legal expenses incurred in defense of Sulliden’s ownership of the Shahuindo property; the further exploration of the Shahuindo property, subject to permitting and for general working capital purposes.
For further information please contact us at Sulliden Exploration Inc. at (416) 703-8287 or via email at contact@sulliden.com.
ABOUT SULLIDEN:
Sulliden Exploration Inc. is a mineral exploration company focused on the development of its Shahuindo gold and silver Project. The Shahuindo project is located in northern Peru, in one of the world’s most prospective gold and silver regions, sitting approximately 25 km north of Barrick’s Laguanas Norte-Alto Chicama 1,100,000 oz/gold per year mine; 70 km south of Newmont’s multi-million oz/gold Yanacocha district and 200 km north of Barrick’s Pierina 650,000 oz/gold per year mine.
The Shahuindo resource stands at 38 million tonnes grading 0.95 g/t Au and 22.99 g/t Ag, containing 1.2 million oz of gold and 28 million oz of silver (equivalent to 1.6 million oz of gold at a gold to silver ratio of 1:60) in the Indicated Category; and 17.2 million tonnes grading 0.62 g/t Au and 12.83 g/t Ag, containing 342,000 oz of gold and 7 million oz of silver (equivalent to 460,000 oz of gold at a gold to silver ratio of 1:60) in the Inferred Category - (Resource Estimation – Met-Chem Canada Inc. April 2005 filed on www.sedar.com).
Caution regarding forward-looking information:
Statements contained in this document which are not historical facts are forward-looking statements that involve risk, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. This forward-looking information includes, or may be based upon, estimates, forecasts, and statements as to management’s expectations with respect to, among other things, the outcome of legal proceedings, the issue of permits, the size and quality of the company’s mineral resources, progress in development of mineral properties, future production and sales volumes, capital and mine production costs, demand and market outlook for metals, future metal prices and treatment and refining charges, and the financial results of the company. Factors that could cause such differences, without limiting the generality of the following, include: volatility and sensitivity to market metal prices impact of change in foreign currency exchange rates and interest rates; imprecision in reserves estimates; environmental risks including increased regulatory burdens; unexpected geological conditions; adverse mining conditions; political risks arising from operating in developing countries; legal title to properties, outcome of litigation, changes in government regulations and policies, including laws and policies; and failure to obtain necessary permits and approvals from government authorities; and other development and operating risks.
Mineral resources that are not mineral reserves do not have demonstrated economic viability. Inferred mineral resources are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as mineral reserves. There is no certainty that mineral resources will be converted into mineral reserves.
Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this document. The Company disclaims any intention or obligation to update or revised any forward-looking statement, whether as a result of new information, future events or otherwise.
Contacts:
John F. Kearney, President
Tel: (416) 703-8287
e-mail: contact@sulliden.com
James H. Coleman, Chairman
Tel: (403) 267-8373
Craig A. Geier, Vice President, CFO Tel: (416) 703-8287 e-mail: craig.geier@sulliden.com
