Cusac Gold Mines Ltd.
OTC Bulletin Board : CUSIF

Cusac Gold Mines Ltd.

November 07, 2006 17:12 ET

Cusac Gold Mines Ltd.: $1 Million Financing Planned for Table Mountain Drilling

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 7, 2006) - David H. Brett, President, Cusac Gold Mines Ltd. (TSX:CQC)(OTCBB:CUSIF) (the "Company"), reports that the Company intends to raise up to $1,000,000 for new drilling at its 100% owned Table Mountain Property in Northern BC. The Company intends to issue up to 3,846,154 units at $0.26 with a half warrant at $.34 in two or more tranches. The Company has received conditional regulatory approval to the placement, and has completed the initial tranche of $400,000 of the offering, issuing 1,539,000 common shares restricted from trading until March 7, 2007 and 769,500 warrants where each warrant enables the holder to purchase 1 common share for one year at $.34 per share expiring November 6 2007. Finder's compensation consisting of 7% in cash and 107,730 warrants to acquire 107,730 units at $0.26 per unit was paid for the first tranche. Additional compensation may be payable respecting the balance of the offering. The Company expects to close the entire placement on or before November 30, 2006. Different hold periods and warrant expiry periods will apply to future tranches.

"This new funding will enable Cusac to move forward aggressively with drilling on possible extensions of the Rory Vein, down-dip potential in the Maura Jennie Vein area, and open-pit potential at the Switchback target," said Cusac CEO David Brett. "Whereas our Taurus II focuses on the long term potential of the Cassiar Gold Camp, our next phase of drilling focuses on targets that could impact Table Mountain gold production over the short and medium term."

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 for more details.


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)