Cross Lake Minerals Ltd.

Cross Lake Minerals Ltd.

April 03, 2007 09:00 ET

Cross Lake Minerals Ltd.: Financing for QR Mine Development Increased

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 3, 2007) -


Further to the news release of Cross Lake Minerals Ltd. (the "Company" or "Cross Lake") (TSX:CRN) on March 12, 2007, the Company wishes to announce that the non-flow-through portion of the brokered private placement led by Pacific International Securities Inc. and including PowerOne Capital Markets Limited of up to 5,000,000 units ("Units") at $0.50 per Unit, has been increased to up to 7,500,000 Units. Each Unit will consist of one non flow-through common share and one-half of one transferable common share purchase warrant. Each whole warrant will entitle the holder to purchase one additional non flow-though common share of Cross Lake at a price of $0.75 for a period of 18 months from closing.

The additional funding will be used for the construction and redevelopment of the QR Mine, which is scheduled to commence production in the third quarter of this year at a projected rate of 1,000 tonnes per day. Initial production will come from the Northwest Zone, which will be developed by open pit and the Midwest and West Zones, both which will be developed from underground. "This financing is critical to Cross Lake as it allows the Company to work towards assuring that the surface facilities on the QR Mine will be completely refitted and ready for full operation when the BC Hydro line is energized, which is scheduled for July of this year," stated Gordon Keevil, President.

All other terms of the offering will remain the same.

All securities issued pursuant to the private placement will be subject to a four month hold period. Completion of the Offering is subject to regulatory and TSX approval. The additional 2,500,000 Units are also subject to shareholder approval.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration and development activities and events or developments that the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see our public filings at for further information.

12(g) No. 82-2636

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