West Vancouver, British Columbia – May 15, 2007 – Columbia Yukon Explorations Inc. (the “Company”) is pleased to announce that, further to its news release dated April 17, 2007, it has closed a further non-brokered flow through and non flow through private placement, which private placement was over-subscribed. The Company has raised $2,750,000 by the issuance of 2,200,000 non flow through units (the “Non FT Units”) and 550,000 flow through units (the “FT Units”) at a price of $1.00 per Unit. Each Non FT Unit consists of one common share and one common share purchase warrant, with each warrant entitling the holder to purchase an additional common share at a price of $1.25 for a period of one year from the closing date. Each FT Unit consists of one flow through common share and one common share purchase warrant, with each warrant entitling the holder to purchase an additional non-flow through common share at a price of $1.35 for a period of one year from the closing date. In connection with the private placement, finders’ fees were paid consisting of 124,250 Units (at a deemed price equal to $1.00 per unit). All of the securities issued pursuant to the private placement are subject to a hold period expiring on September 15, 2007.
The proceeds from this private placement will be used for general working capital and for exploration and development of the Company’s “Storie” molybdenum property located in northern British Columbia. The Storie property lies south of the former Cassiar Mine townsite and is accessible by paved highway to Cassiar and then 5 kilometres of all weather gravel road. For 2007, the Company intends to proceed with a 20,000 metre core drilling program to provide additional confirmation of the resource with infill drilling, and to test the potential increase of the size of resource with exploration along strike and in parallel targets. The Company has recently finalized its initial drill contracts for this program and expects to have at least two drills on site and operating by late spring. Also, prior to completing a pre-feasibility study, the Company plans to take a bulk sample for preliminary metallurgical testing.
John Kowalchuk, P.Geo., has reviewed this release and is the Qualified Person for the Company’s Storie molybdenum property project.
For further information, contact Mr. Clive Shallow, investor communications, at 604-922-2030 or visit the Company’s website at www.columbiayukon.com.
Columbia Yukon Explorations Inc.
“Douglas L. Mason”
Douglas L. Mason, Chairman
The TSX Venture Exchange has not reviewed this news release and does not accept responsibility for the adequacy or accuracy of this release. |
