Exall Resources Limited
TSX : EXL

Exall Resources Limited

August 25, 2005 15:32 ET

Exall Reorganization Plan Update

TORONTO, ONTARIO--(CCNMatthews - Aug. 25, 2005) - Exall Resources Limited (TSX:EXL) announces the following update to Exall's Reorganization Plan which was included in the recently filed second quarter results.

At the May 11, 2005 Exall Annual General and Special Shareholders' meeting in Toronto, all of the resolutions brought forward were approved, including the re-organization plan where the Company's gold and mining assets will be transferred to a new company to be named Gold Eagle Mines Ltd. ("Gold Eagle Mines") for shares that will then be distributed to Exall shareholders through a plan of arrangement. Dominick & Dominick Securities Inc. has been engaged to raise up to $3,000,000 to finance Gold Eagle Mines' 50% share of exploration expenditures at the Gold Eagle Mine Property near Red Lake, Ontario. Upon completion of the re-organization, Exall will change its name to Exall Energy Inc.

An application was filed with the Canada Revenue Agency ("CRA") for a ruling with respect to the reorganization plan. A ruling had been expected in July however the CRA continues to review the matter and management believes a ruling can be expected before September 30, 2005.

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.

There are currently 56.9 million common shares issued and outstanding.

Contact Information

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