Montello Resources Ltd.
TSX VENTURE : MEO

Montello Resources Ltd.

October 15, 2007 20:14 ET

Montello Resources Ltd. Announces Proposed Financing

CALGARY, ALERTA--(Marketwire - Oct. 15, 2007) -

NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA

MONTELLO RESOURCES LTD. ("Montello") (TSX VENTURE:MEO) is pleased to announce that it intends to complete a private placement (the "Private Placement") of up to 10,000,000 units (the "Units") at $0.18 per Unit for gross proceeds of up to $1,800,000. Each Unit shall consist of one common share of Montello (the "Common Share") and one warrant (the "Warrant"), with each full Warrant exercisable into one Common Share at a price of $0.30 per share for a period of 12 months from the date of issuance. Montello may pay a commission to certain introducing parties by the issuance of a 8% cash commission and broker warrants consisting of Units equivalent to 10% of the number of Units sold by such introducing parties.

The proceeds from the Private Placement will be used for general working capital.

The private placement is subject to the approval of the TSX Venture Exchange Inc.

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

Contact Information

  • Montello Resources Ltd.
    Bill Cawker
    Chief Executive Officer
    (604) 649-0080
    or
    Montello Resources Ltd.
    Marc Davis
    Director
    (604) 689-1799