December 31, 2010 13:43 ET

Cascadia Closes Private Placement

CALGARY, ALBERTA--(Marketwire - Dec. 31, 2010) - Cascadia Resources Inc. (the "Corporation") (TSX VENTURE:CCR) is pleased to announce it has closed its previously announced (see press release dated December 15, 2010) non-brokered private placement of 10,000,000 common shares of the Corporation issued on a flow-through basis ("Flow-through Shares") at a price of $0.10 per share for gross proceeds of $1,000,000 (the "Private Placement"). Proceeds from the private placement will be used to fund exploration and development drilling and related activities on properties farmed into or to be acquired. The Private Placement is subject to final approval by the TSX Venture Exchange.

Pursuant to the policies of the TSX Venture Exchange and Multilateral Instrument 61-101, the Private Placement is classified as a "related party transaction" as Gordon Bowerman and James Evaskevich, directors of the Corporation, and Trish Olynyk, the CFO of the Corporation participated in the Private Placement (collectively the "Related Parties"). The Related Parties, in particular, Mr. Bowerman and his spouse subscribed for 1,550,000 Common Shares and Mr. Bowerman now owns, controls or directs 4,374,332 Common Shares (16.5% of the outstanding Common Shares), a company controlled by Mr. Evaskevich subscribed for 1,000,000 Common Shares and Mr. Evaskevich now owns, controls or directs 2,554,000 Common Shares (9.6% of the outstanding Common Shares) and Ms. Olynyk subscribed for 500,000 Common Shares and now owns 887,944 Common shares (3.3% of the outstanding Common Shares).

The Private Placement was approved by two of the four directors, the two Related Party directors having abstained from the vote. The directors who voted determined that exemptions from the formal valuation and minority shareholder approval requirements under the Multilateral Instrument 61-101, are available since the fair market value of the consideration paid by the Related Parties in connection with the Private Placement is for an amount less than $2,500,000.

Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the Policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Cascadia Resources Inc.
    Gordon Bowerman
    (403) 262-9177
    (403) 262-8284 (FAX)