Forum Development Corp.
TSX VENTURE : FDC

Forum Development Corp.

August 02, 2005 12:18 ET

Forum Announces Closing of First Tranche of Private Placement

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 2, 2005) - Forum Development Corp. (TSX VENTURE:FDC) is pleased to announce that it has closed the first tranche of its $1 million non-brokered private placement previously announced on July 5, 2005. The Company has raised a total of $654,345 through the issuance of 632,000 flow-through shares and 2,481,725 non-flow through units. Flow-through shares were sold at a price of 25 cents per common share. Non-flow-through units were sold at 20 cents per unit and comprise one common share and one-half of one common share purchase warrant. Each whole warrant will entitle the holder to purchase an additional common share at a price of 30 cents at any time prior to July 28, 2006.

Finders' fees will be paid on a portion of the financing in the amount of $11,760 and 56,560 warrants will be issued with the same terms as those issued to subscribers. All securities issued pursuant to the private placement are subject to a four month hold period. This financing is subject to regulatory approval.

Proceeds from this financing will be used for exploration on the Company's uranium properties located in the Athabasca Basin, Saskatchewan.

Forum Development Corp. is a Canadian-based energy company with a focus on the acquisition, exploration and development of energy projects. The Company has a 100% interest in over 145,000 hectares of uranium exploration properties located in the prolific Athabasca Basin, Saskatchewan. Forum is also evaluating a Coalbed Methane (CBM) project in the Merritt Coalfield in southern British Columbia.

ON BEHALF OF THE BOARD

Rick Mazur, President & CEO

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

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