SOURCE: Liberty Mines Inc.

September 27, 2007 19:50 ET

Liberty Completes $11,398,575 Financing

EDMONTON, AB--(Marketwire - September 27, 2007) - Liberty Mines Inc. (TSX-V: LBE) ("Liberty" or the "Corporation") is pleased to announce that it has completed the brokered financing through Salman Partners first announced on September 12, 2007 for gross proceeds of $9,975,000. In connection with the financing, Liberty issued 3,500,000 flow-through common shares at a price of $2.85 per share.

In connection with the brokered financing, Liberty paid fees totaling $598,500.00 and issued compensation warrants exercisable for 210,000 common shares of Liberty. Securities issued pursuant to this financing have a 4 month hold period which expires on January 28, 2007.

The non-brokered part of the financing closed today raising $1,423,575 which consists of 499,500 flow-through shares issued at the same price and hold period as stated above. Liberty paid finders fees of $64,980 and issued compensation warrants exercisable for 22,800 common shares of the Corporation. The total gross proceeds received today were therefore $11,398,575.

Completion of the financing remains subject to the final approval of the TSX Venture Exchange.

Proceeds from the financing will be used for the exploration of the Corporation's extensive nickel, cobalt, and copper PGM mining claims. Liberty has a 100% ownership of 23,914 ha in the Shaw Dome Nickel Belt, the Groves Nickel Copper PGM Project and the McAra-Ray Cobalt Nickel Project. In addition, it holds 752 ha of gold mining claims and an option on 1,664 ha of nickel mining claims.

In connection with the financing, an aggregate of 42,500 Flow-Through Shares were issued to directors and officers of Liberty, together with their associated entities and related parties. In this regard, 12,000 Flow-Through Shares were acquired by Gary Nash, an aggregate of 20,000 Flow-Through Shares were acquired directly and indirectly by Donald Schurman, 7,000 Flow-Through Shares were acquired by William Randall and 3,500 Flow-Through Shares were acquired by Warren Cabral.

About Liberty Mines Inc.

Liberty Mines Inc. is a mineral exploration and development company with a focus on the development and mining of nickel, cobalt, copper and platinum group metals from its properties in Ontario.

CAUTIONARY STATEMENT

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. This News Release includes certain "forward-looking statements" regarding the expected use of proceeds. Actual results may differ materially from those contemplated by these statements depending upon, exploration and development risks, commodity prices and assumed costs detailed from time to time in the filings made by Liberty with securities regulators.

Press Release 31-07

Contact Information

  • For further information please contact:

    Dr. Gary Nash, PhD (Physics)
    President & CEO
    Liberty Mines Inc.
    Phone: (416) 238-9736
    Fax: (780) 437-7898
    E-mail: Email Contact