Explorator Resources Inc.
TSX VENTURE : EXO

Explorator Resources Inc.

August 09, 2007 13:42 ET

Explorator Resources Inc. Announces Closing of a Private Placement and Increase of the Stock Option Plan

TORONTO, ONTARIO--(Marketwire - Aug. 9, 2007) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRE SERVICES

Explorator Resources Inc. (the "Corporation") (TSX VENTURE:EXO) is pleased to announce the Corporation has completed a brokered private placement financing (the "Brokered Financing") with Cormark Securities Inc., Blackmont Capital Inc. and Canaccord Capital Corp. as agents (the "Agents"), concurrent with the completion of a non-brokered private placement financing (the "Non-Brokered Financing"). 9,372,902 ("Units") of the Corporation were issued in consideration for aggregate gross proceeds of $7,029,676.50, 6,377,667 Units of which relate to $4,783,250.25 raised pursuant to the Brokered Financing and the remainder relates to the Non-Brokered Financing. As previously announced on July 9, 2007, the net proceeds of the Brokered Financing and the Non-Brokered Financing will be used for exploration, drilling, engineering and resource studies and property payments for the Corporation's El Espino property in Chile and for working capital purposes.

Each Unit consists of one common share of the Corporation and one-half of one common share purchase warrant, with each full warrant entitling the holder to purchase one common share of the Corporation at a price of $1.00 per share until February 9, 2009. The common shares and warrants issued pursuant to the Brokered Financing and the Non-Brokered Financing are subject to a four (4) month hold period expiring on December 10, 2007.

Cash compensation of $286,995.02 was paid to the Agents upon completion of the Financing. In addition, the Agents were issued 382,660 broker warrants (the "Broker Warrants"). Each Broker Warrant will entitle the Agents to purchase one Unit at $0.75 until February 9, 2009. In addition, the Corporation has granted options to purchase 1,000,000 common shares of the Corporation at an exercise price of $0.79 and valid for a period of five years to directors, officers and consultants of the Corporation, subject to regulatory approval.

ABOUT EXPLORATOR RESOURCES INC.

Explorator Resources is a Canadian-based mining exploration company focused on building a strong position of copper-gold projects in South America. Explorator is initially concentrating its efforts in the mineral rich Corderilla de la Costa province in Chile. The Corporation's El Espino Project lies within this prolific copper-gold mineral area and is central to an important cluster of copper-gold deposits. El Espino is located in the Illapel district, approximately 3.5 hours drive north of Santiago. The Corporation recently acquired the adjacent Venus-Marcelo claim block immediately north of El Espino (see release dated May 15, 2007 and June 19, 2007). The Venus-Marcelo block covers 132 hectares and is host to major gold and copper mineralized structures on which six currently small active mines have been developed.

Forward-Looking Statements

This news release contains certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical fact, that address events or developments that the Corporation expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Forward-looking statements in this document include statements regarding the Corporation's intended use of proceeds from the financing.

Although the Corporation 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 may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include: general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Corporation's management on the date the statements are made. The Corporation undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

These statements are based on a number of assumptions, including, among others, assumptions regarding general business and economic conditions. The foregoing list of assumptions is not exhaustive. Events or circumstances could cause results to differ materially.

THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ACCURACY OF THIS RELEASE.

Contact Information