July 31, 2006 09:59 ET

Normabec Closes a $1,000,000 Private Placement

ST-BRUNO, QUEBEC--(CCNMatthews - July 31, 2006) - Normabec Mining Resources Ltd (TSX VENTURE:NMB) ("NORMABEC") has closed a private placement with MineralFields Group of Toronto, Ont. for a total of 2,631,577 units at a price of $0.38 per unit for gross proceeds of $1,000,000. Each unit consists of one flow-through common share and one half of one common share purchase warrant. Each full warrant entitles the holder to purchase one additional common share at a price of $0.55 per common share until January 24, 2008.

However, following the expiry of the four month resale restriction, should the trading price of the common shares of NORMABEC on the TSX Venture Exchange equal or exceed $0.75 for a period of 20 consecutive trading days, NORMABEC shall be entitled to notify the warrant holders of its intention to accelerate the expiration date of the warrants. Upon reception of such notice, warrant holders shall have 14 working days to exercise the warrants, at which time the warrants will expire.

In connection with the private placement, Normabec paid Limited Market Dealer Inc. a commission fee equal to 5 per cent of the gross proceeds raised in the placement. A compensation warrant was also issued to Limited Market Dealer Inc. entitling it to purchase up to 184,210 common shares of NORMABEC representing 7 per cent of the number of flow-through common shares sold in the placement. The compensation warrant is exercisable at a price of $0.38 per share for a period of 18 months from the date of issuance of the warrants.

Under applicable securities legislation and policies of the TSX Venture Exchange, the common shares and warrants issued under the private placement are subject to a four month hold period expiring on November 24, 2006.

The net proceeds of this private placement will be used for exploration work on the Pitt Gold Property.

"About MineralFields

MineralFields Group is a Toronto-based mining fund with significant assets under administration that offers its tax-advantaged, super flow-through limited partnerships to investors throughout Canada during most of the calendar year, as well as hard-dollar limited partnerships to investors throughout the world. Information about MineralFields Group is available at".

The TSX Venture Exchange (TSX) has neither approved nor disapproved the contents of this press release.

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