Black Pearl Minerals Consolidated Inc.
TSX VENTURE : BLK

Black Pearl Minerals Consolidated Inc.

July 16, 2007 16:16 ET

Black Pearl Announces Private Placement, Completion of Debt Settlement and Grant of Stock Options

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 16, 2007) - Black Pearl Minerals Consolidated Inc. (TSX VENTURE:BLK) -

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Private Placements

Black Pearl Minerals Consolidated Inc. wishes to announce that it intends to complete a non-brokered $1,500,000 principal amount convertible debenture financing. The convertible debentures bear interest at prime plus 1%, calculated annually in arrears and payable on maturity, which is 2 years from the date of issuance. The principal of the debenture is convertible into either: (a) common shares at a price of $0.30 per share for a period of two years from the date of closing; or (b) at any time after the first anniversary of the date of closing, the holders pro rata share of 3,000 ounces of gold, payable in cash based on the price of gold on the day prior to conversion.

Concurrently with the debenture financing, the Company intends to complete a $1,500,000 private placement of 6,000,000 flow-through common shares of the Company at a price of $0.25 per share.

Proceeds from the financings will be used to purchase ore processing equipment and the extraction of the bulk sample for the Gold Dust advanced exploration project in Manitoba. The financings are subject to regulatory approval.

The Company also announces that it has completed the settlement of an aggregate of $195,329 of indebtedness owed to a creditor of the Company through the issuance of 976,645 common shares of the Company. The common shares issued pursuant to the settlement are subject to hold period until November 13, 2007.

The Company also wishes to announce that it has granted an aggregate of 150,000 options to purchase common shares of the Company exercisable at a price of $0.25 per share for a period of five years to consultants of the Company. The common shares issuable upon exercise of the options are subject to a four month hold period from the original date of grant.

ON BEHALF OF THE BOARD

BLACK PEARL MINERALS CONSOLIDATED INC.

Robert Sibthorpe, B.Sc. (Geol), MBA, President

Shares Outstanding: 33,391,156

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

Contact Information

  • Black Pearl Minerals Consolidated Inc.
    Andrew Cook
    C.O.O.
    (604) 602-4935
    or
    Black Pearl Minerals Consolidated Inc.
    Jim MacDonald
    Corporate Communication
    (604) 602-4935