VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 15, 2011) - Argentex Mining Corporation ("Argentex" or the "Company") (TSX VENTURE:ATX)(OTCBB:AGXMF) is pleased to announce the closing of the over-allotment option granted to a syndicate of underwriters led by GMP Securities L.P. and including Haywood Securities Inc., Byron Capital Markets Ltd. and Casimir Capital Ltd. (collectively, the "Underwriters"), in connection with a "bought-deal" offering of 8,700,000 units (the "Units") which closed August 19, 2011.
Argentex has issued to the Underwriters an additional 652,500 common share purchase warrants (each an "Additional Warrant") at a price of C$0.082 per Additional Warrant for aggregate gross proceeds of C$53,505. Each Additional Warrant entitles the holder to purchase one common share in the capital of Argentex for C$1.60 at any time until 5:00 p.m. (Vancouver time) on August 19, 2013.
Argentex has paid to the Underwriters a cash commission equal to six percent of the additional gross proceeds raised pursuant to the exercise of the Over-Allotment Option. No additional broker warrants were issued to the Underwriters.
As with the Units, the Additional Warrants were offered by way of a short form prospectus filed in all of the Provinces of Canada, other than Quebec. The Additional Warrants were not registered under the U.S. Securities Act of 1933, as amended (the "1933 Act"), and no Additional Warrants were offered or sold in the United States or to any U.S. Persons (as that term is defined in Rule 902 of Regulation S, promulgated under the 1933 Act).
The Company plans to use the net proceeds for general working capital and corporate purposes.
Argentex Mining Corporation is an exploration company focused on the discovery of silver, gold and polymetallic deposits on its advanced exploration project portfolio in the Patagonia region of southern Argentina. In total, Argentex owns 100% of the mineral rights to more than 35 properties located within approximately 307,981 acres (124,636 hectares) of highly prospective land located in the Santa Cruz and Rio Negro provinces.
Shares of Argentex common stock trade under the symbol ATX on the TSX Venture Exchange and under the symbol AGXMF on the OTCBB.
On behalf of Argentex Mining Corporation:
Ken E. Hicks, President
Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Words such as "expects", "intends", "plans", "may", "could", "should", "anticipates", "likely", "believes" and words of similar import also identify forward-looking statements. Forward-looking statements in this news release include those concerning Argentex's planned use of the net proceeds for working capital and for general corporate purposes. Actual results may differ materially from those currently anticipated due to a number of factors beyond the Company's control. These risks and uncertainties include, among other things, market factors and risks that are inherent in Argentex's operations including the risk that the Company may not find any minerals in commercially feasible quantity or raise funds sufficient to prosecute its exploration plans. These and other risks are described in the Company's final short form prospectus filed in connection with the Offering, the Company's Annual Report on Form 10-K and other filings with the Securities and Exchange Commission, which can be found on SEDAR.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.