SOURCE: Columbia Metals Corporation Ltd.

October 23, 2007 08:30 ET

Columbia Announces Closing of Previously Announced Private Placement

TORONTO--(Marketwire - October 23, 2007) - Columbia Metals Corporation Limited (TSX-V: COL) announced today the closing of its previously announced private placement financing. Under the terms of the private placement financing, gross proceeds of $4,250,000 representing 25,000,000 units at a price of $0.17 per unit have been received. This represents the maximum subscription over- allotment option approved by the board of directors.

Each unit is comprised of one common share and one half of one common share purchase warrant of Columbia. Each common share purchase warrant is exercisable for one Columbia common share at a price of $0.25 per share until October 24, 2009.

One of the directors of Columbia is subscribing for approximately 5% of the private placement.

Finder's fees totaling $379,270 were paid to Transglobe Financial Advisors Inc., INTAC (BVI) International Investments Ltd., Blackmont Capital Inc. and Natalja Lachozka.

Columbia will use proceeds of the private placement financing to further progress rehabilitation work at its Lluvia de Oro gold mine, and for general working capital purposes.

Shares Outstanding: 92,956,427

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

Contact Information

  • For further information, please contact:
    Chris Berlet
    (416) 364-6799

    Columbia Metals Corporation Limited
    402 - 121 Richmond Street West
    Toronto ON, M5H 2K1,
    Canada
    Phone: (416) 364-6799
    Fax: (416) 364-2595
    www.columbiametals.ca