Hornby Bay Exploration Limited

Hornby Bay Exploration Limited

March 23, 2005 14:41 ET

Hornby Bay Exploration Closes $2.8 Million Financing


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: HORNBY BAY EXPLORATION LIMITED

TSX VENTURE SYMBOL: HBE

MARCH 23, 2005 - 14:41 ET

Hornby Bay Exploration Closes $2.8 Million Financing

TORONTO, ONTARIO--(CCNMatthews - March 23, 2005) - NOT FOR DISTRIBUTION
TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES. ANY
FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF
U.S. SECURITIES LAW

Hornby Bay Exploration Limited (TSX VENTURE:HBE) has closed with
Desjardins Securities a previously announced private placement of
3,133,699 flow-through common shares at a price of $0.90 per share.

These flow-through common shares issued are subject to the applicable
statutory hold period of four months.

The gross proceeds of approximately $2.8 million of this private
placement will be used by the company to fund part of its $7.0 million
April-September 2005 uranium exploration program in the Hornby Bay Basin
of western Nunavut. $6.0 million is scheduled to be spent on its 100%
owned 124 Coppermine River uranium claims and $1.0 million is scheduled
to be spent on its 90 Asiak River uranium claims.

Drilling will commence the last week of April 2005. The company's 2005
exploration program and schedule may be viewed on its website homepage
www.hornbybay.com under the heading Latest Properties Presentation.

The securities being offered by Hornby Bay have not been, nor will be,
registered under the United States Securities Act of 1933, as amended,
and may not be offered or sold in the United States or to U.S. persons
absent registration or applicable exemption from the registration
requirement of such Act. This release does not constitute an offer for
sale of common shares in the U.S. and any public offering of common
shares in the U.S. will be made by means of a prospectus.

Shares Outstanding March 23, 2005: 76,341,430

Close March 22, 2005: $0.69

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Hornby Bay Exploration Limited
    George Bell
    President & CEO
    (416) 368-0114
    or
    Hornby Bay Exploration Limited
    Jennifer Smith
    VP Finance & CFO
    (416) 368-0114
    (416) 368-0198 (FAX)
    THE TSX VENTURE EXCHANGE HAS NEITHER APPROVED NOR DISAPPROVED THE
    CONTENTS OF THIS RELEASE.