Royal Mines And Minerals Corp. (OTCPK:RYMM) announced a private placement of convertible promissory notes for gross proceeds of $600,000 on June 14, 2012. The notes will be issued to Phoenix PMX LLC. The company will issue the notes in tranches of $100,000 per month commencing on or before June 20, 2012. The notes are payable within 180 days from advancement of funds with interest at 8% per annum. The investor will have the option at any time during the first three months of the agreement, to convert the amount into units on the basis of $0.05 per unit, with each unit consisting of one share of common stock of the company and one common stock purchase warrant exercisable at $0.10 per share within one year from the date of issuance. In consideration of the transaction, the investor shall be entitled to receive 80% of the after royalty amount received from the sale of gold recovered from the operation of the plants until such time as the investor has received 100% of the amount advanced, and thereafter shall be entitled to receive 60% of the after royalty amount obtained from the sale of gold recovered in the operation of the plants. The investor will have the option, 90 days following the first tranche to elect not to proceed with the next three tranches. Thereon the total invested amount and any interest accrued thereon will be converted into units on the basis above and the investor will not be entitled to receive any further interest in the proceeds of the sale of gold from the plants. If it elects to proceed, the investor will be obligated to complete the next three tranches. The investor may, within 180 days following the sixth tranche, elect to convert all, but not less than all, of the principal and interest outstanding into units and will not be entitled to receive any further interest in the proceeds of the sale of gold from the plants.

As of July 27, 2012, the company has received an advance of $25,000 in connection with this financing.

As of September 14, 2012, Royal Mines And Minerals Corp. cancelled the transaction. Subsequent to the fiscal quarter ended July 31, 2012, the financing was mutually cancelled by the company and the investor. As of date, the company does not owe any amount to the investor.