Sunset Cove Announces Flow-Through Private Placement Financing

June 06, 2013 10:20 AM EDT | Source: Manganese X Energy Corp.

Toronto, Ontario--(Newsfile Corp. - June 6, 2013) - Sunset Cove Mining (TSXV: SSM) (BVL: SSM) intends to complete a non-brokered private placement financing of up to $ 350,000 in Units A to be comprised of flow-through and non-flow-through (hard dollar) common shares and Units B to be of non-flow-through (hard dollar) common shares.

The flow-through shares will be priced at $ 0.05 per flow-through common share and the non-flow-through common shares will be priced at $ 0.03 per non-flow-through common share. The non-flow-throw common shares will be accompanied by a common share purchase warrant which can be exercised at price of $0.10 per share for a period of 18 months from closing. The proceeds of the financing will be used to begin the exploration of the Lac Guéret West Graphite Property as well as for general working capital purposes.

The Lac Guéret West Property is road accessible and within the Grenville province of North-Eastern Quebec and is located roughly 300 km north of Baie Comeau and 660 km north of Montreal.

The Lac Guéret West Property is located in a highly prospective graphite zone, that promises to become one of the world's prime locations for high quality graphite. Other publically traded companies exploring close by include Mason Graphite and Focus Graphite. An exploration plan is being discussed currently with Apex Geoscience and will be ready shortly.

The company may pay finders' fees in connection with the financings. The flow-through common shares and the common shares are subject to resale restrictions. Closing of the financings is subject to receipt of regulatory approval, including the approval of the TSX Venture Exchange.

The Company also announces that it has accepted the subscriptions that had previously been announced and has issued a total of 3,690,200 common shares in favour of 13 subscribers including members of the board of directors. Each share is accompanied by a common share purchase warrant which can be exercised at price of $0.10 per share for a period of 18 months from closing. All shares and warrants are subject to a hold period of 4 months and 1 day from closing. The proceeds have been used for general corporate purposes with the objective of reducing outstanding trade payables.

Forward-Looking Statements

Some of the statements contained herein may be forward-looking statements that involve known and unknown risks and uncertainties. Results presented in this press release are exploratory in nature. Historical data, if mentioned, should not be relied upon, as they are not admissible under NI 43-101 rules and the Company has not conducted sufficient testing to verify this type of information. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward-looking statements that involve various degrees of risk. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward-looking statements: changes in the world-wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability, and the uncertainty of access to additional capital. Sunset Cove disclaims any obligation to update any such forward-looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For further information, please contact:

Lorne Woods, President, Sunset Cove Mining
(877) 234-0692; ext. 250
lwoods@sunsetcovemining.com
www.sunsetcovemining.com

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