Matamec Explorations inc.

Matamec Explorations inc.

February 03, 2006 10:20 ET

Matamec Closes a Private Placement with SODEMEX Options to a Director: Payment in Shares of Accrued Interest on Convertible Debenture

MONTREAL, QUEBEC--(CCNMatthews - Feb. 3, 2006) - Matamec Explorations Inc. ("Matamec") (TSX VENTURE:MAT) announces that it has closed a private placement totalling $ 50,000 with SODEMEX II, of which the Caisse de depot et placement du Quebec is a partner, by issuing 500,000 common shares of Matamec to SODEMEX II at a price of $ 0.10 per share and 500,000 share purchase warrants; each warrant entitling the holder to purchase one common share at a price of $0.13 per share for a period of 24 months following the closing. The common shares and the warrants are subject to a four-month hold period from their date of issue.

Matamec would also like to announce that at the last board meeting held on February 1st, 2006, 181,800 stock options were granted to Mr. Andre Gauthier, president of the company. Each stock option entitles to acquire one common share at a price of $ 0.11 for a period of five years. These options and their subsequent exercise are governed by Company's stock option plan.

Furthermore, Matamec announces that it also intends to issue 90,740 common shares at a price of $ 0.10 per share, subject to the regulatory approval, for the payment of accrued interest in the amount of $ 9,073.97 on a convertible debenture of $ 150,000 issued January 15th, 2004. These securities will be subject to a four-mount hold period from their date of issue.

About Matamec

Matamec is a mining exploration company which has a polymineral exploration strategy. It wholly owns 6 exploration properties in Quebec, as well as options to acquire interests in the La Grande Est Property of Virginia Gold Mines and the Montclerg Property situated in Timmins-Porcupine mining camp in Ontario which is subject to the approval of regulatory authorities. Considering the increasing interest for gold, the geological potential of the gold-bearing mineralization of the La Grande Est, Lesperance, Montclerg, Sakami and Valmont Property adds value to Matamec. In 2006, exploration work is forecast on the La Grande Est, Lesperance, Montclerg and Vulcain properties.

All amounts expressed in this Press Release are in Canadian dollars ($CA).

Contact Information

  • Matamec Explorations Inc.
    Andre Gauthier
    (514) 448-2161
    Matamec Explorations Inc.
    Aline Leclerc
    V-P Exploration
    (819) 738-7134