Nortec Ventures Corp.

Nortec Ventures Corp.

July 07, 2008 09:00 ET

Nortec Ventures Corp. Arranges Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 7, 2008) -


Nortec Ventures Corp. ("Nortec" or the "Company") (TSX VENTURE:NVT) is pleased to announce that it has entered into an agreement with PI Financial Corp. (the "Agent"), for a brokered private placement on a commercially reasonable efforts basis, of up to 6,000,000 units (the "Units") at a price of $0.27 per Unit (the "Offering"), to raise total gross proceeds of up to $1,620,000. Each Unit will consist of one common share of the Company (a "Share") and one half of one transferable common share purchase warrant (a "Warrant"). Each whole Warrant will be exercisable to acquire one additional Share for a period of 18 months from the closing of the Offering at an exercise price of $0.45. In addition, the Company has granted to the Agent an over-allotment option whereby the Agent may place up to an additional 1,200,000 Units.

As consideration for acting as agent, the Agent will receive a commission equal to 7.0% of the gross proceeds of the Offering, payable in cash or Units at the election of the Agents. In addition, the Agent will receive compensation options (the "Compensation Options") equal in number to 7.0% of the total number of Units sold under the Offering. Each Compensation Option will entitle the Agent to purchase one common share of the Company at a price of $0.30 for a period of 18 months following the closing of the Offering. All securities issued in the Offering will have a hold period in Canada of four months from the closing of the Offering.

The net proceeds from the Offering will be used to continue the Company's planned 10,000 meter drill program on its Kaukua Platinum - Palladium - Gold (PGE + Au) - Nickel Copper project in Northeastern Finland, continued exploration on the Kingurutik River and TL Nickel - Copper - Cobalt projects in Labrador and for general working capital purposes.

The Offering is subject to completion of satisfactory due diligence by the Agent with respect to the Company, completion and execution of appropriate documentation, acceptance for filing by the TSX Venture Exchange of the Offering on behalf of the Company and receipt of any required regulatory approvals.

About Nortec Ventures Corp.

Nortec Ventures Corp. is a Canadian public mineral exploration company focused on the exploration and development of the Kaukua Platinum - Palladium - Gold (PGE + Au) - Nickel and Copper project located in Finland, the Kingurutik and TL Nickel-Copper-Cobalt projects in Labrador, Canada and the Ganarin and Condorcocha projects in Ecuador. The Company has a very experienced mineral exploration and management team with the combined expertise to successfully advance the exploration and development of both precious and base metal projects.

On behalf of the Board of Directors,


Mohan R. Vulimiri, President & CEO

This press release does not constitute an offer to sell, or a solicitation of an offer to sell, any of the foregoing securities in the United States. None of the foregoing securities have been and, nor will they be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

This press release contains certain forward looking statements which involve known and unknown risks, delays and uncertainties not under the Company's control which may cause actual results, performances or achievements of the Company to be materially different from the results, performances or expectations implied by these forward looking statements.

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

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