Exall Resources Limited
TSX : EXL

Exall Resources Limited

September 13, 2005 14:53 ET

Exall Completes $4,000,000 'Bought Deal' Financing

TORONTO, ONTARIO--(CCNMatthews - Sept. 13, 2005) - Exall Resources Limited ("Exall" or the "Corporation") (TSX:EXL) announced today that it has closed the previously announced $4,000,000 financing through Dundee Securities Corporation and Dominick & Dominick Securities Inc. (the "Agents"). The financing consisted of flow-through common shares of the Corporation ("Flow-Through Common Shares"), with each Flow Through Common Share priced at $0.40, and units of the Corporation ("Units"), with each Unit priced at $0.40, and comprised of one common share and one-half of one common share purchase warrant, with each whole warrant exercisable at $0.50 for a period of 12 months to acquire an additional common share of Exall.

The Agents were paid a fee of 6% of the total proceeds raised and also received 600,000 non-transferable broker warrants, exercisable for Units of Exall at a price of $0.40 per Unit for a period of 12 months. The securities issued under the financing are subject to a four-month resale restriction.

The gross proceeds from the financing will be applied to finance the drilling program at the Gold Eagle Mine Property in Red Lake, Ontario (See Press Release dated August 29, 2005) and to finance oil and gas activities and to provide general working capital.

Exall Resources Limited is a Toronto Stock Exchange listed company that trades under the symbol EXL (S.E.C. registration #82-3535). Exall is active in its business of gold exploration and development in Red Lake, Ontario, as well as oil and gas exploration, development and production from its properties in Alberta, British Columbia and Texas.

Following the financing there are 66.9 million common shares issued and outstanding.

FORWARD LOOKING STATEMENTS:

The statements made in this News Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections.

Contact Information

  • Exall Resources Limited
    Stephen G. Roman
    Chairman, President and CEO
    (416) 368-3949
    (416) 368-5146 (FAX)
    www.exall.com