Kirrin Resources postpones C$1.5 million private placement of units

'Market conditions are more than unreceptive' for offering, CEO says

By Devika Patel

Knoxville, Tenn., Dec. 5 - Kirrin Resources Inc. said it is postponing its plans for a C$1.5 million non-brokered private placement of units. The deal priced Oct. 20.

"I believe investors expected this decision," company president and chief executive officer Derek Moran said in a press release. "Market conditions are more than unreceptive; one of Kirrin's advisors called them 'brutal.'"

"We marketed the private placement as the first part of financing 10,000 meters of drilling across Kirrin's portfolio of two REE and two uranium projects in Canada. Indications of participation did not give the directors confidence that we could achieve that objective. Accordingly, we are postponing the private placement and subscriptions will be returned," Moran said.

Proceeds were to have been used for exploration on Kirrin's portfolio of rare earth elements and uranium properties and general working capital purposes.

Kirrin Resources is a rare earth element and uranium exploration company based in Calgary, Alta.

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