Canada's Reservoir Eyes Private Placement To Fund Spin-off of Serbian Mineral Permits

BELGRADE (Serbia), March 25 (SeeNews) – Canadian renewable energy company Reservoir Capital said on Friday it intends to raise up to 7.02 million Canadian dollars ($7.19 million/5.08 million euro) through a non-brokered private placement as part of its plan to spin out some Serbian mineral exploration permits into a new enterprise.

The purpose of this transaction is to focus efforts on the company’s renewable energy projects and make new acquisitions, Reservoir Capital said in a statement.

Shareholders of Vancouver-based Reservoir Capital (www.reservoircapitalcorp.com) are entitled to receive 9.0 million new shares of the new company, Reservoir Minerals, the statement said, adding that the spin-out will take about three to four months to complete.

The Canadian company has four geothermal exploration licenses and holds eight precious and base metal exploration properties in Serbia and is engaged in the development of a 58.4 megawatt hydro power project in the Balkan country.

($=0.9762 Canadian dollars)

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