December 31, 2010
Sanatana Announces Closing of Second Tranche of Private Placement
THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES FOR DISSEMINATION IN THE UNITED STATES
Vancouver, British Columbia, Canada, December 31, 2010 - Sanatana Diamonds Inc., ("Sanatana" or the "Company", TSX-V: STA). Further to its news releases of December 15, 2010 (the "December 15th News Release"), December 17, 2010 and December 30, 2010, Sanatana is pleased to announce that it has closed the second tranche of the private placement (the "Offering") and has issued an additional 450,000 flow-through shares (the "FT Shares") for gross proceeds of $76,500. The Company will renounce an amount equal to the gross proceeds derived from the sale of the FT Shares to purchasers in accordance with the provisions of the Income Tax Act (Canada). All securities issued in the closing of the first tranche will be subject to a hold period which expires May 1, 2011.
In connection with the second tranche closing, the Company also paid an aggregate cash commission of $4,590 to an arm's length finder (equal to 6% of the subscriptions placed by the finder).
The funds raised from the first tranche will be used for the purposes described in the December 15th News Release.
About the Company
Sanatana Diamonds Inc. is an exploration stage company seeking new projects to complement its existing properties in the Northwest Territories and the Yukon. With an experienced management team and board of directors, Sanatana has the skills required to identify, develop and fund economic mineral properties. Sanatana is based in Vancouver and is listed on the TSX Venture Exchange (TSX-V: STA).
SANATANA DIAMONDS INC.
President and Chief Executive Officer
For additional information on the Company, please contact:
Mr. Peter Miles, President and Chief Executive Officer
at 604-408-6680 or email email@example.com
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
Cautionary Statement Regarding "Forward-Looking" Information
Some of the statements contained in this press release are forward-looking statements and information within the meaning of applicable securities laws. Forward-looking statements and information can be identified by the use of words such as "expects", "intends", "is expected", "potential", "suggests" or variations of such words or phrases, or statements that certain actions, events or results "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements and information are not historical facts and are subject to a number of risks and uncertainties beyond Sanatana's control. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this news release. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law.
Neither TSX Venture Exchange nor its Regulations Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.