Far West Mining Ltd.

Far West Mining Ltd.

December 13, 2007 15:39 ET

Far West Mining to Raise Up to $3.0 Million in a Non-Brokered Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 13, 2007) -


Far West Mining Ltd. (TSX:FWM) (the "Company") is pleased to announce that it is undertaking a non-brokered private placement of up to 750,000 units (the "Units") at a price of $4.00 per Unit, for gross proceeds of up to $3,000,000. Each unit consists of one common share and one-half of one transferable common share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder to purchase one additional common share for 30 months following closing at an exercise price of $5.25. In the event that the Company's common shares trade on the Toronto Stock Exchange at a closing price greater than $6.50 per share for twenty consecutive trading days at any time after four months and one day after the closing date, the Company may accelerate the expiry of the Warrants by giving notice to the holders thereof and in such case the Warrants will expire on the 30th day after the date on which such notice is given. The Private Placement is expected to close on or before December 21, 2007.

In connection with the Private Placement, the Company may pay a finders' fee of 5% of the gross proceeds from the sale of Units to persons introduced to the Company by third parties ("Finders"). In addition, the Finders will receive warrants ("Finders Warrants") equal in number to 5% of the number of Units sold to persons introduced by the Finders. The Finders Warrants will be exercisable at a price of $5.25 per common share for a period of 30 months after the closing date.

The net proceeds of the private placement will be used to further explore and develop the Company's properties in Chile, Australia, and Argentina, and for general working capital.

All of the securities will be subject to a four month and one day hold period in Canada following the closing date. The non-brokered private placement is subject to acceptance for filing by the Toronto Stock Exchange.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "US Securities Act") or any state securities laws and may not be offered or sold within the United Sates or to US Persons unless registered under the US Securities Act and applicable state securities laws or an exemption from such registration is available.

Far West Mining Ltd. is an international mineral exploration company engaged in the evaluation, acquisition, exploration and development of mining properties. The Company has current operations in Chile (100% Far West) as well as in Argentina and Australia in collaboration with its strategic alliance exploration partner BHP Billiton.


Robert E. Hindson, P.Eng., President and C.E.O.

For further information investors should review the Company's filings that are available at www.sedar.com.

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 future production, reserve potential, exploration drilling, exploitation activities, the results of sales of securities and other events or developments that the Company expects to occur are forward looking statements. Although the Company 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 market prices, exploitation and exploration successes, continued availability of capital and financing, and 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. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.

The TSX does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Far West Mining Ltd.
    Robert E. Hindson
    President & CEO
    (604) 602-9144
    Far West Mining Ltd.
    Iain MacPhail
    (604) 602-9144
    Website: www.farwestmining.com