Friday, July 15, 2011

Tombstone Exploration Corp. (TMBXF) Closes Non-Brokered Private Placement

On Thursday, Tombstone Exploration Corp. reported that they closed their non-brokered private placement for gross proceeds of $500,000 through the issuance of 10,000,000 units at a price of $0.05 per Unit. Each Unit consists of one share of common stock and one-half of one common share purchase warrant (each whole warrant share a “Warrant”). Each Warrant entitles the holder to purchase one common share (a “Warrant Share”) at a price of $0.10 until July 14, 2014.

Tombstone Exploration Corp. has paid finder’s fees consisting of shares of common stock and warrants equal to 7 percent of the securities placed by the finder.

The common stock sold through this private placement has not, and will not, be registered under the Securities Act of 1933, as amended. The common stock sold through this private placement may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirement under the Securities Act. Tombstone Exploration Corp. states that this announcement is neither an offer to sell nor a solicitation of an offer to buy any of these securities.

The proceeds of this offering will be used to continue Tombstone Exploration’s exploration program. This includes geophysical work and ground IP on the Company’s wholly owned property in the Tombstone Mining District, along with additional sampling and possibly drilling of further near surface silver/gold targets that have not undergone drilling and are historically the most sought after resource in the Tombstone area.

Furthermore, Tombstone Exploration Corp. is inquiring about applying for a TSX Venture exchange listing in Canada as priority for the Company to engage a much greater number of financing opportunities. The Company’s securities will continue to trade on the OTCBB and OTCQB, even if they move forward with this additional listing.

Tombstone Exploration Corp. has renewed all of their State Exploration Permits in the Tombstone Mining District. These permits have been executed and finalized by the Arizona State Land Department. The renewals encompass five sections, totaling approximately 2,600 acres in the Tombstone Mining District. These sections are underlain principally by the Bisbee Group sediments and metasediments that have been highly productive in the Tombstone Mining District and in the Warren (Bisbee) Mining District, in Arizona.

Mr. Alan Brown, President of Tombstone Exploration Corp., stated, “We are pleased to receive the financing from Haywood Securities. Considerable work on the property can be accomplished to advance the exploration with the $500,000 prior to the significant drill program planned.”

Headquartered in Tombstone, Arizona, Tombstone Exploration Corp. focuses primarily on the exploration and development of mineral resources. They have the mineral rights to approximately 11,500 acres of historical mining land in the areas around Tombstone, Arizona. The Company is the largest landholder in the Tombstone Mining District.

For more information visit: www.tombstonemining.com

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