Puma Exploration Inc.
TSX VENTURE : PUM

Puma Exploration Inc.

December 20, 2007 09:48 ET

Puma Exploration Completes a Private Placement of $4.5 M

RIMOUSKI, QUEBEC--(Marketwire - Dec. 20, 2007) -

This news release is intended for distribution in Canada only and is not intended for distribution to United States newswire services or dissemination in the United States. Nothing contained herein constitutes an offering of securities of the corporation in the United States

Puma Exploration Inc. (TSX VENTURE:PUM) ("Puma") has completed a private placement of $4,541,523 with Northern Securities Inc. Pursuant to this placement, Puma has issued 6,025,269 flow-through common shares at a price of $0.55 per share, 2,728,056 common shares at a price of $0.45 per share and 2,728,056 common share purchase warrants, each giving the right to subscribe for one common share.

Each common share purchase warrant can be exercised at a price of $0.55 per share until December 19, 2009. If the common shares of Puma have a closing price equal to or greater than $1.00 per share for a period of 10 consecutive trading days at any time after April 20, 2008, Puma will have the right to notify the warrant holders in writing of its intention to change the exercise price of the warrants. Upon receipt of such notice, the holder will have 10 business days to exercise its warrants, failing which their exercise price will be automatically adjusted to $0.80 until their expiration.

In connection with this placement, Puma has been paid to Northern Securities Inc. a cash commission of 8% of the aggregate gross proceeds. Northern Securities Inc. has also received 602,527 compensation options, each of which can be exercised at a price of $0.55 per share until December 19, 2009 and 272,806 compensation options, each of which can be exercised at a price of $0.45 per share until December 19, 2009.

All securities issued in connection with the placement will be subject to a hold period until April 20, 2008. The proceeds of the placement will be used by Puma for exploration work and working capital. Further to the placement, Puma currently has 39,841,271 issued and outstanding common shares.

The TSX Venture Stock Exchange disclaims any responsibility regarding the veracity and accuracy of this press release.

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