NEWS ROUNDUP — Teddy completes private placement

Proceeds from a $6-million private placement will be used to help fund development of the Holloway gold project in northeastern Ontario.

Teddy Bear Valley Mines (CDN) has a 15.35% interest in the project, which is scheduled to treat 1,250 tonnes of ore per day.

The completed placement consists of convertible debentures which carry a 4% interest rate, payable in shares or in cash until production begins, and are convertible into common shares at $3.70 per share.

Teddy Bear’s project partners are Hemlo Gold Mines (TSE), which has a 50.79% interest, and Freewest Resources (TSE), with 33.86%. (Hemlo and Freewest are in the process of amalgamating; the deal calls for Hemlo to acquire Freewest’s Holloway interest and the other assets of Freewest to be spun off into a new company.)