Volcanic Borrows $500,000
VOLCANIC METALS CORP.
Suite 700 - 510 West Hastings Street Vancouver, BC V6B 1L8 Tel: (604) 568-6312 / Fax: (604) 319-0447
For Immediate Release TSX-V: VOL
VOLCANIC BORROWS $500,000
February 8, 2013, Vancouver – Volcanic Metals Corp. (TSX.V: VOL) (the "Company") announces that, subject to the approval of the TSX Venture Exchange, it has entered into a loan transaction with an arm's length party, under which the lender will loan Cdn$500,000 to the Company. The unsecured loan will bear interest at a rate of 10% per year, and, subject to certain early repayment provisions, is repayable in one year. The loan is immediately payable in the event that the proposed ten-to-one share consolidation is not approved at the Company's upcoming annual general meeting, a change in control of the Board of Directors occurs, or the Company raises over $500,000 in future financing transactions. Subject to regulatory approval the Company has agreed to issue 2,000,000 bonus shares as part of the loan transaction.
The proceeds of the loan will be used for working capital and for the investigation of new strategic opportunities.
On behalf of the Board of Directors
VOLCANIC METALS CORP.
/s/ Michael Iverson
Contact:
Michael Iverson Chief Executive Officer (604) 568-6312 http://www.volcanicmetals.com
Neither 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. which are not historical in nature are intended to be, and are hereby identified as, "forward‐looking statements". Statements included in this announcement, including statements concerning our plans, intentions and expectations, Forward‐looking statements may be identified by words including "anticipates", "believes", "intends", "estimates", "expects" and similar expressions. The Company cautions readers that forward‐looking statements, including risks and uncertainties that could cause actual results to differ materially from those indicated in the forward‐looking without limitation those relating to the Company's future operations and business prospects, are subject to certain
statements.
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