BlackPearl Resources Inc.

BlackPearl Resources Inc.

December 07, 2010 09:00 ET

BlackPearl Announces Closing of $50.0 Million in Equity Financings

CALGARY, ALBERTA--(Marketwire - Dec. 7, 2010) -


BlackPearl Resources Inc. ("BlackPearl" or the "Company") (TSX:PXX)(FIRST NORTH:PXXS) is pleased to announce that it has closed its previously announced public offering of 6,000,000 common shares of the Company (the "Common Shares") on a bought deal basis at a price of $5.00 per Common Share representing total gross proceeds of $30.0 million. In addition, the Company has closed its previously announced private placement of an additional 4,000,000 Common Shares at a price of $5.00 per Common Share representing additional total gross proceeds of $20.0 million.

The underwriting syndicate for the public offering was co-led by FirstEnergy Capital Corp. and RBC Capital Markets, and included Canaccord Genuity Corp., GMP Securities L.P., Peters & Co. Limited, TD Securities Inc., CIBC World Markets Inc., Desjardins Securities Inc., Macquarie Capital Markets Canada Ltd., Salman Partners Inc. and Scotia Capital Inc.

The Company intends to use the net proceeds from the financings to fund its ongoing capital program, and for general corporate purposes.

This news release does not constitute an offer to sell or a solicitation of any offer to buy the securities in the United States. The securities offered have not been and will not be registered under the U.S. Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements of such Act.

BlackPearl's Certified Advisor on First North is E. Öhman J:or Fondkommission AB.

Company Registration Number: 409596-1

Forward-Looking Statements

This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. All statements other than statements of historical fact may be forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "believe", "plan", "continuous", "estimate", "expect", "may", "will", "project", "should", "predict", "targeting", "seek", "intend", "could", "potential" or similar words. In particular, this press release containing forward-looking statements regarding the anticipated use of proceeds of the Company's equity financings. Since forward looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ, and the difference may be material and adverse to the Company and its shareholders. The intended use of the net proceeds of the financings may change if the board of directors and management determine that it is in the Company's best interests to deploy the proceeds for some other purpose. The Company believes the expectations and assumptions reflected in those forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon.

The forward-looking statements and information contained in this press release are made as of the date hereof and the Company undertakes no obligations to update publicly or otherwise any forward-looking statements and information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

Contact Information

  • BlackPearl Resources Inc.
    John Festival
    President and Chief Executive Officer
    (403) 215-8313
    BlackPearl Resources Inc.
    Don Cook
    Chief Financial Officer
    (403) 215-8313
    (403) 265-8324 (FAX)