UC Resources Ltd.

UC Resources Ltd.

October 31, 2007 17:47 ET

UC Resources Announces Closing of Expanded Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 31, 2007) - UC Resources Ltd. (TSX VENTURE:UC) ("UC" or "the Company") is pleased to announce that it has successfully raised $725,000 in regard to the financing handled privately, as announced in a news release on October 18, 2007, subject to regulatory approval.

The initial allotment was set at $500,000 ($250,000 non-flow-through units and $250,000 in flow-through units), but the Company increased the amount of the financing due to additional interest. All securities issued pursuant to this private placement have a hold period of four months. As announced in the same news release, PowerOne is undertaking a financing of $4,100,000.

The proceeds will be used to fund exploration programs on the Company's James Bay properties, exploration in Mexico and for working capital purposes. To date, there have been 10 individual VMS occurrences discovered and drill tested on the McFauld's Lake properties.

UC Resources Ltd. is a Canadian-based company exploring for base metals in the McFauld's Lake area in the James Bay Lowlands. The recent drill program was financed entirely by UC Resources Limited, in compliance with their funding obligation for the project. UC has an option to earn-in up to a 55% interest in the McFauld's Lake project, which is currently owned by Spider and KWG, as per the binding LOI signed in early March 2007. UC is the operator of the property during the term of their option. UC has expended approximately $1.0 million to complete their initial earn-in on the property (total expenditures are being tallied by management to be presented to Spider and KWG). The company is also very active in Mexico with exploration and production assets.

On behalf of the Board,

Brian Gusko, CFO

Investors are invited to visit the UC Resources IR Hub at http://www.agoracom.com/ir/UCResources where they can post questions and receive answers or review questions and answers already posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to UC@agoracom.com where they can also request to be added to the investor e-mail list to receive all future press releases and updates in real time.

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registered filings what are available at www.sedar.com.

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

Contact Information

  • UC Resources Ltd.
    Brian Gusko
    (604) 681-7265 or Toll Free: 1-800-366-8566 (Canada & USA)
    (604) 608-6163 (FAX)
    Website: www.ucresources.net