Vector Resources Limited (ASX:VEC) Announces A$4 Million Capital Raising

Perth, Nov 16, 2011 AEST (ABN Newswire) - Vector Resources Limited (ASX:VEC) is pleased to report that it has received firm commitments for a A$4 million capital raising by way of the placement of 50,000,000 ordinary fully paid shares (Shares) at A$0.08 each, together with a free 1:1 attaching listed option at an exercise price of A$0.20 expiring 30 June 2012 (Listed Option).

The capital raising will be completed in two tranches:

(i) Tranche 1 - 12,500,000 Shares (25% of the total raising) to raise A$1,000,000 to be issued under the Company's 15% placement capacity under ASX Listing Rule 7.1; and

(ii) Tranche 2 - 37,500,000 Shares (75% of the total raising) to raise A$3,000,000, together with the 50,000,000 free attaching Listed Options on a 1:1 basis, to be issued following the approval of the Company's shareholders in general meeting.

Indian Ocean Capital Pty Ltd ("Indian Ocean") is Lead Manager to the Offer.

Funds raised from the issue will be applied in furtherance of the Company's mineral exploration projects and for working capital purposes.

The Company will convene a meeting of shareholders to ratify and seek shareholder approval for the issue of the Shares and Listed Options.

This announcement effects the end of the Company's trading halt.

Contact

N J Bassett Company Secretary Vector Resources Limited P: +61-8-6188-7800 F: +61-8-9481-8772 Email: contact@vectorresources.com.au http://www.vectorresources.com.au