Polaris Completes Purchase of Land in the Port of Long Beach, California and Bridge Financing
August 20, 2008
Vancouver, British Columbia – Polaris Minerals Corporation (TSX: PLS) today announced that its subsidiary company, Eagle Rock Aggregates Inc., in conjunction with its Strategic Alliance partner, has completed the previously announced purchase of a parcel of land at Pier B in the Port of Long Beach, California.
As previously disclosed, to facilitate this transaction the Company has closed a CND$20 million one-year bridge loan facility. The principal terms of this financing are the issuance of 475,000 new warrants with a 5-year term and a strike price of $6.50, concurrent with drawing down the facility. If the loan remains outstanding at 91 days and 181 days after closing, additional new warrants will be issued in the amount of 475,000 and 950,000 respectively. The interest rate on the loan is 12%, increasing to 13% and 15% if the loan remains outstanding at 91 days and 181 days respectively.
Polaris Minerals Corporation is exclusively focused on the development of quarries and the production of construction aggregates on Vancouver Island, British Columbia, for marine transport to urban markets on the west coast of North America to meet growing local supply deficits. In 2007, Polaris began shipping high-quality sand and gravel from the Orca Quarry to San Francisco Bay, Vancouver, and Hawaii.
For further information, please contact:
Marco Romero, President & CEO or
Mike Westerlund, Director, Corporate Development
Polaris Minerals Corporation
Tel: (604) 915-5000
This press release contains "forward-looking statements" and "forward-looking information" within the meaning of applicable securities laws. These statements and information appear in this document and include estimates, forecasts, information and statements as to management's expectations with respect to, among other things the future financial or operating performance of the Company, costs and timing of the development of the construction aggregate quarry, the timing and amount of estimated future production, costs of production, capital and operating expenditures, requirements for additional capital, government regulation of quarrying operations, environmental risks, reclamation expenses, and title disputes. Often, but not always, forward-looking statements and information can be identified by the use of words such as "may", "will", "should", "plans", "expects", "intends", "anticipates", "believes", "budget", and "scheduled" or the negative thereof or variations thereon or similar terminology. Forwardlooking statements and information are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Readers are cautioned that any such forward-looking statements and information are not guarantees and there can be no assurance that such statements and information will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed under the heading "Risks and Uncertainties" in the Company's Annual Report and under the heading "Risk Factors" in the Company's Annual Information Form (AIF) in respect of its financial year-ended December 31, 2007, both of which are filed with Canadian regulators on SEDAR ( www.sedar.com ). The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements and information whether as a result of new information, future events or otherwise. All written and oral forwardlooking statements and information attributable to us or persons acting on our behalf are expressly qualified in their entirety by the foregoing cautionary statements.