BrazAlta Resources Corp.

BrazAlta Resources Corp.

March 22, 2006 15:49 ET

BrazAlta Resources Corp. Announces Private Placement to W.Washington Empreendimentos E Participacoes Ltda

CALGARY, ALBERTA--(CCNMatthews - March 22, 2006) - BrazAlta Resources Corp. (TSX VENTURE:BRX) ("BrazAlta") is pleased to report it intends to complete a private placement to W.Washington Empreendimentos E Participacoes Ltda ("W.Washington") of up to 3,010,000 Units at a price of $1.05 per Unit for proceeds of $3,160,500. Each Unit will be comprised of one common share and one half of one common share purchase warrant. Each Warrant will entitle the holder to acquire one common share at a price $1.20 per common share for a period of 24 months. Disinterested shareholder approval was obtained for the private placement to W.Washington at the annual and special meeting of BrazAlta held on February 9, 2006.

W.Washington presently holds 3,200,000 common shares which is approximately 7.4% of the issued and outstanding common shares of BrazAlta. Following completion of the anticipated private placement to W.Washington, W.Washington will hold 6,210,000 common shares representing 13.4% of the common shares. Assuming completion of the private placement and the exercise of all warrants of BrazAlta outstanding which are priced at $1.20 per common share, or lower, W.Washington would hold 7,715,000 common shares or 11.6% of the common shares.

Alessandro Novaes, a director of BrazAlta and also owns a minority interest in W.Washington. W.Washington is BrazAlta's partner with respect to BrazAlta's Brazilian operations in the Reconcavo and Sergipe areas of Brazil. The private placement is subject to TSX Venture Exchange acceptance.

BrazAlta is a publicly traded Canadian based international oil and gas corporation with operations in Brazil, Northern Ireland and Canada.

This press release may contain statements within the meaning of safe harbour provisions as defined under US Laws and Regulations. The above statements are based on the current expectations and beliefs of BrazAlta's management and are subject to a number of risks and uncertainties that may cause the actual results to differ materially from those described above. BrazAlta does not undertake any responsibility with regard to the accuracy of this press release nor the obligation to update the abovementioned information.

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

Contact Information

  • BrazAlta Resources Corp.
    David R. P. Mears
    President & CEO
    (403) 561-1648