Guerrero Exploration announces $250,000 financing

Canada-based exploration mining company Guerrero Exploration (CVE:GEX) said Tuesday that it will undertake a non-brokered private placement of up to $250,000 by issuing 5.0 million units at 5 cents each.
A unit will consist of one common share and one common share purchase warrant that is exercisable for 12 months from closing, at an exercise price of 10 cents.
The exercise price is subject to acceleration in the event Guerrero distributes a press release stating that its shares have traded on the TSX Venture Exchange at a price per share greater than 30 cents for 10 consecutive trading days.
If this occurs, the warrant will expire without further notice on the 31st day following the issuance of the press release, the company said.
The company is not allowed to issue such a press release within four months of the date of closing.
Guerrero plans to use the financing proceeds of $250,000 for general working capital and exploration purposes.
The company may pay finder's fees in cash and warrants.
At the beginning of April, the mineral explorer reported that it had completed the first close of its previously announced $1.5 million private placement financing brokered by Euro Pacific Canada.
A total of 2.56 million units at 12.5 cents per unit were issued for total gross proceeds of $320,312.50. Each unit consisted of one common share and one-half of a common share purchase warrant.
Guerrero focuses on Mexican gold, copper and silver mining areas known as the Guerrero Gold Belt, the Southern Mexican Gold Belt and the Sierra Madre Occidental Belt.
The Guerrero gold belt (GGB) is located in the state of Guerrero, Mexico and has produced over 15 million ounces of gold to date. It extends for at least 55 kilometres from the southeast to the northwest and remains open to exploration in all directions.
Guerrero's Cerro Azul copper gold project, along with the Cotapec gold and silver project covers 81,370 hectares of the Guerrero belt.
The Cerro Azul copper gold project covers 26,000 hectares near the GGB with a third property, the Chapalota project, which is located outside of the GGB in the Sierra Madre Occidental Region of Mexico.
Guerrero's Coatapec project is located directly north of Newstrike's (CVE:NR) Ana Paula project, showing similar geological trends to Ana Paula and lying within approximately 10 kilometres of Goldcorp’s Los Filos gold mine.