BrazAlta Resources Corp.
TSX VENTURE : BRX

BrazAlta Resources Corp.

January 10, 2007 12:48 ET

BrazAlta Resources Corp. Completes $10 Million Bought Deal Financing

CALGARY, ALBERTA--(CCNMatthews - Jan. 10, 2007) -

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BrazAlta Resources Corp. (TSX VENTURE:BRX) ("BrazAlta" or the "Corporation"), is pleased to announce that it has completed its previously announced "bought deal" private placement financing for total gross proceeds of $10,000,800 (the "Financing"), through a syndicate of underwriters led by Westwind Partners Inc. and including FirstEnergy Capital Corp. (collectively, the "Underwriters"). BrazAlta issued 5,834,000 units (the "Units") plus an additional 2,500,000 Units on full exercise of the Underwriters' option for a total of 8,334,000 Units, at a price of $1.20 per Unit. Each Unit is comprised of one common share (the "Common Shares") of BrazAlta and one half of one share purchase warrant (the "Warrants"). Each whole Warrant is exercisable for a period of 18 months following the closing of the Financing and entitles the holder to purchase one Common Share of BrazAlta at a price of $2.00 per Common Share. The securities are subject to a four-month hold period.

Proceeds for the Financing will be used to purchase a second drilling rig and various other drilling equipment with the balance being used for further development of the Corporation's Brazilian based oil and gas assets and general corporate purposes. The Financing remains subject to TSX Venture Exchange final approval.

BrazAlta is a publicly traded Canadian based international oil and gas corporation with operations in Brazil, Northern Ireland and Canada.

This press release may contain statements within the meaning of safe harbour provisions as defined under US Laws and Regulations. The above statements are based on the current expectations and beliefs of BrazAlta's management and are subject to a number of risks and uncertainties that may cause the actual results to differ materially from those described above. BrazAlta does not undertake any responsibility with regard to the accuracy of this press release nor the obligation to update the abovementioned information.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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