Freewest Resources Canada Inc.
TSX VENTURE : FWR

Freewest Resources Canada Inc.

December 27, 2006 10:16 ET

Freewest Resources Announces Closing of $1.5 Million Private Placement

MONTREAL, QUEBEC--(CCNMatthews - Dec. 27, 2006) - Freewest Resources Canada Inc. (TSX VENTURE:FWR) announces that it has completed a private placement by issuing 8,333,441 "flow-through" units to investors in Alberta, Ontario and Quebec at a price of $0.18 per unit, for gross proceeds to Freewest of $1,500,020.

Each unit consists of one "flow-through" common share and one common share purchase warrant. Each warrant entitles the holder to acquire one additional common share of Freewest at a price of $0.25 per share for a period of twelve months.

Under applicable securities legislation and the policies of the TSX Venture Exchange, the common shares and warrants issued pursuant to the private placement are subject to a hold period expiring on April 23, 2007.

Freewest will use 90% of the proceeds from the private placement toward exploration work on Freewest's properties located in Ontario, Quebec and New Brunswick and the remaining 10% will go for working capital and general corporate purposes.

As a result of the private placement, there are 136,964,825 common shares of Freewest issued and outstanding.

Freewest is a well-financed mineral exploration company exploring for gold, base metals and uranium in Eastern Canada. Corporate information can be accessed on the Internet at www.freewest.com. Freewest's shares are listed on the TSX Venture Exchange under the symbol FWR.

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

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