Seafield Resources Ltd.

Seafield Resources Ltd.

May 15, 2006 17:39 ET

Seafield Private Placement Oversubscribed

TORONTO, ONTARIO--(CCNMatthews - May 15, 2006) - Seafield Resources Ltd. ("Seafield" or, the "Company") (CNQ:SEAF), is pleased to report that a non brokered private placement of 1,000,000 units at $0.30 for gross proceeds of $300,000 has been oversubscribed. Management has elected to accept additional subscriptions and the increased offering has now closed. As a result, Seafield will issue 3,190,000 units for gross proceeds of $957,000. Each unit will consist of one common share and one half common share purchase warrant. Each whole warrant will be exercisable at $0.45 for 18 months, expiring on November 11, 2007.

Proceeds will be used for general working capital and exploration. Seafield is planning a summer drill program at the Elora gold project near Dryden, Ontario to follow up on encouraging results from a drill campaign carried out in 2004. Reconnaissance work at Seafield's La Silla property in Mexico is scheduled to begin later this summer.

Finders' fees totaling $8,694 were paid in connection with this financing.

This news release includes certain "forward looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve various degrees of risk. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital.

No Stock Exchange has reviewed nor accepted responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Seafield Resources Ltd.
    Anthony Roodenburg
    (416) 485-1327