BrazAlta Resources Corp.

BrazAlta Resources Corp.

January 08, 2007 16:30 ET

BrazAlta Resources Corp. Announces Settlement of Promissory Note and Closing of Private Placement

CALGARY, ALBERTA--(CCNMatthews - Jan. 8, 2007) - BrazAlta Resources Corp. ("BrazAlta") (TSX VENTURE:BRX) is pleased to announce that it has repaid its promissory note to W.Washington Empreendimentos E Participacoes Ltda ("W.Washington") for $3,209,883 which represents principal plus interest of $29,883. The promissory note was part of the consideration for certain of BrazAlta's assets in Brazil.

BrazAlta also closed its private placement previously announced on March 22, 2006 (the "Offering"). Approval to complete the Offering was obtained in November, 2006. BrazAlta issued 3,010,000 units for total gross proceeds of $3,160,500, to Oyan Services Corp. ("Oyan"), a corporation controlled by the shareholders of W.Washington. Each unit consists of one common share and one-half of one common share purchase warrant. Each whole warrant is exercisable for a period of twenty four months following the closing of the Offering and entitles the holder thereof to acquire one additional common share of BrazAlta at a price of $1.20 per share. Following completion of the offering, BrazAlta has 57,953,982 common shares outstanding. The securities are subject to a statutory four-month hold period.

Alessandro Novaes is a director of BrazAlta and also owns a minority interest in W.Washington and Oyan.

W.Washington is BrazAlta's partner with respect to BrazAlta's Brazilian operations in the Reconcavo and Sergipe basins of Brazil.

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