Mustang Minerals Corp.

Mustang Minerals Corp.

January 05, 2005 08:30 ET

Mustang Completes Financing Placement Oversubscribed


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: MUSTANG MINERALS CORP.

TSX VENTURE SYMBOL: MUM

JANUARY 5, 2005 - 08:30 ET

Mustang Completes Financing Placement Oversubscribed

TORONTO, ONTARIO--(CCNMatthews - Jan. 5, 2005) - Mustang Minerals Corp.
(TSX VENTURE:MUM) today announced that it has closed a non-brokered
private placement of units and that the offering was oversubscribed. A
total of 3,124,550 units (3,124,550 shares and 1,562,275 warrants) were
placed with accredited investors for gross proceeds of $1,327,934
million. Proceeds will be used to finance CEE-eligible exploration work
on the Company's mineral exploration projects in Ontario and Manitoba.
Each unit consists of one flow-through common share and one half of one
common share purchase warrant. The price of each unit is $0.425. Each
whole warrant can be exercised to acquire one additional common share at
a price of $0.60 per share for a period of 2 years from the date of
closing. The shares and warrants are subject to a four month regulatory
hold period.

In 2005 the Company is focused on advancing its nickel property
portfolio. Key projects include the Maskwa Nickel Project in Manitoba
and the Bannockburn and Manchester Lease Properties in Ontario. "We look
forward to a dynamic year of growth and development of our Company
through acquisition, exploration and transactions with major industry
partners" said Robin Dunbar, President of Mustang Minerals Corp.

To find out more about Mustang Minerals Corp (TSX-V: MUM), visit our
website at www.mustangminerals.com.

Shares Outstanding: 43,761,673

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Mustang Minerals Corp.
    David Black
    Investor Relations
    (416) 955-4773
    info@mustangminerals.com
    www.mustangminerals.com
    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the contents of this press release.