RAB Special Situations L.P.

BDI Mining Corp.

BDI Mining Corp.

February 16, 2005 15:43 ET

RAB SPECIAL SITUATIONS L.P./BDI Mining Corp.-Announcement


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: RAB SPECIAL SITUATIONS L.P.

AND BDI MINING CORP.

TSX VENTURE SYMBOL: BDI

FEBRUARY 16, 2005 - 15:43 ET

RAB SPECIAL SITUATIONS L.P./BDI Mining
Corp.-Announcement

LONDON, UNITED KINGDOM--(CCNMatthews - Feb. 16, 2005) - RAB Special
Situations L.P. ("Special Situations") announces that it subscribed for
a total of 3,000,000 units (the "Units") of BDI Mining Corp. (TSX
VENTURE:BDI) (the "Company") at a price of Cdn.$0.45 per Unit. Each Unit
consists of one (1) common share in the share capital of the Company (a
"Share") and one (1) transferable Share purchase warrant (a "Warrant").
Each one (1) whole Warrant shall entitle Special Situations to purchase
one (1) Share (a "Warrant Share") at a price of Cdn.$0.60 per Share for
a period of two (2) year from the date of issuance of the Warrant. The
transaction took place off the market by way of private placement and
closed on February 15, 2005.

Special Situations has ownership of and control over the securities
purchased in the Private Placement. The purchased securities represent
approximately 9.28% of the issued and outstanding Shares on a partially
diluted basis (assuming exercise of its Warrants) ("Partially Diluted
Basis").

Immediately after the Private Placement, Special Situations owned
9,936,000 Shares and 3,000,000 Warrants, representing approximately
20.02% of the issued and outstanding Shares on a Partially Diluted
Basis. William Philip Seymour Richards, who may be considered a joint
actor with Special Situations, owned 300,000 Shares and 150,000
Warrants, representing approximately 0.73% of the issued and outstanding
Shares on a Partially Diluted Basis.

Special Situations purchased securities for investment purposes only and
not with the purpose of influencing the control or direction of the
Company. Special Situations together with joint actors, if any, may,
subject to market conditions, make additional investments in or
dispositions of securities of the Company in the future, including
additional purchases of Shares. However, Special Situations and its
joint actors, if any, do not intend to acquire 20% of any class of the
outstanding voting or equity securities of the Company.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    RAB Special Situations L.P.
    Mr. Neil Warrender
    (44) 20-7389-7000
    (+44) 20 7389 7054 (FAX)
    nw@rabcap.com
    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release.