Cusac Gold Mines Ltd.
TSX : CQC
OTC Bulletin Board : CUSIF

Cusac Gold Mines Ltd.

December 12, 2006 20:34 ET

Cusac Closes Cdn$954,330 Private Placement

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Dec. 12, 2006) - David H. Brett, President, Cusac Gold Mines Ltd. (TSX:CQC)(OTCBB:CUSIF) (the "Company"), is pleased to report that the Company has closed the private placement announced on November 7, 2006. Sold under the offering were 3,670,500 flow-through units priced at $0.26 for total gross proceeds of $954,330. The proceeds of the financing will be used for mineral exploration expenses at the Company's Table Mountain Property in Northern BC.

Each flow-through unit consists of one common share and one half of a share purchase warrant with each whole warrant exercisable to purchase a non flow-through common share at a price of $0.34 per share for a period of one year. All shares and warrants issued under the private placement are subject to a hold period expiring four months and a day from the date of issuance.

The Company has paid a total of $7,116.20 in cash and 250,300 agent's options as finders fees. Each agent's option entitles the holder to purchase a non flow-through unit of the Company for a period of one year at a price of $0.26 per unit. Each non flow-through unit consists of one common share and one half of a share purchase warrant with each whole warrant exercisable to purchase a non flow-through common share at a price of $0.34 per share for a period of one year from the issuance of the agent's options.

The Company has also arranged a private placement of 76,924 common shares at $0.26 per share.

Cusac Gold Mines Ltd. is a gold mining company in existence since 1966. Cusac has a dominant land position in the Cassiar Gold Camp of northern BC, and is re-starting gold production from high-grade quartz veins on Table Mountain. Cusac also owns over 30% of the low-grade, bulk tonnage, million-ounce resource at the Taurus deposit, and is exploring for more bulk-tonnage, disseminated gold mineralization nearby at its 100% owned Taurus II project. Please visit our website www.cusac.com for more details.

CUSAC GOLD MINES LTD.

David H. Brett, President & CEO

Forward-Looking Statements

There are forward-looking statements contained herein that are not based on historical fact, including without limitation statements containing the words "believes", "may", "plans", will", "estimate", "continue", "anticipates", "intends", "expects" and similar uncertainties and other factors that may cause the actual results, events or developments to be materially different from any future results, events or developments expressed or implied by such forward-looking statements. Such factors include, among others, Cusac's exploration results, lack of revenues, additional capital requirements, risks associated with the exploration activity. These factors should be considered carefully and readers are cautioned not to place undue reliance on such forward-looking statements. The Company disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements contained herein to reflect future results, events or developments.


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

Contact Information

  • Cusac Gold Mines Ltd.
    Investor Relations
    Toll Free: 1-800-670-6570 (Canada) or 1-800-665-5101 (USA)
    Email: info@cusac.com
    Website: www.cusac.com