Grand Banks Energy Corporation
TSX VENTURE : GBE

Grand Banks Energy Corporation

August 29, 2005 15:33 ET

Grand Banks Energy Raises $1.8 Million from Warrant Exercise

CALGARY, ALBERTA--(CCNMatthews - Aug. 29, 2005) -

NOT FOR DISTRIBUTION TO THE UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION TO THE UNITED STATES.

Grand Banks Energy Corporation (TSX VENTURE:GBE) ( the "Corporation") announces the exercise of warrants for the purchase of 1,437,134 common shares at $1.25 per share raising $1.8 million net to the Corporation. These warrants, which were previously issued by the Corporation as part of a financing that closed February 27, 2004, were fully exercised. Management and insiders accounted for approximately 48% of the warrant exercise. After this exercise the Corporation has 28 million shares (basic) and 30.4 million shares (fully diluted) outstanding.

The proceeds raised will be used for Grand Bank's ongoing 2005 exploration and development program.

Grand Banks is listed on the TSX-Venture Exchange under the Symbol GBE.

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

Contact Information

  • Grand Banks Energy Corporation
    E.C. (Ted) McFeely
    Chairman, President and Chief Executive Officer
    (403) 262-8666
    (403) 262-8796 (FAX)
    or
    Grand Banks Energy Corporation
    1600, 444 - 5th Avenue S.W.
    Calgary, Alberta T2P 2T8