Pacific Road Resources Funds

October 18, 2010 16:05 ET

Pacific Road Resources Funds Announce Further Investment in First Bauxite Corporation

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 18, 2010) - The Pacific Road Resources Funds ("PRRF") are pleased to announce that, further to the press release issued by First Bauxite Corporation (the "Company") on September 17, 2010, PRRF has purchased 1,807,229 units (each a "Unit") issued by the Company by way of private placement at a price of $0.83 per Unit for gross proceeds to the Company of $1,500,000. Each Unit consists of one common share in the capital of the Company (each a "Common Share") and one half of one Common Share purchase warrant (each whole warrant a "Warrant"), with each Warrant entitling the holder to purchase one Common Share for two years at a price of $1.075 per share. The Common Shares included in the Units purchased by PRRF, together with the common shares for which the warrants included in such Units are exercisable, represent approximately 5.2% of the issued and outstanding Common Shares of the Company.

Following closing of the transaction, PRRF holds 1,807,229 common shares, 903,614 common share purchase warrants and notes convertible at any time for 9,638,554 common shares of the Company. Assuming full exercise of the warrants and convertible notes held by PRRF, PRRF would hold a total of 12,349,397 common shares, representing approximately 20% of the common shares of the Company.

PRRF purchased the securities for investment purposes and may or may not purchase or sell securities of the Company in the future on the open market or in private transactions, depending on market conditions and other factors.

About Pacific Road Resources Funds and Pacific Road Capital Management Pty Limited

The Pacific Road Resources Funds are private equity funds investing in the global mining industry. They provide expansion and buyout capital for mining projects, mining related infrastructure and mining services businesses located throughout resource-rich regions of the world. The Pacific Road Resources Funds are managed and advised by Pacific Road Capital Management Pty Ltd ("PRCM"). The PRCM team, located in Sydney, Australia, San Francisco and New York, USA, is comprised of experienced mining investment professionals that have extensive knowledge and experience in the mining and infrastructure sectors, including considerable operating, project development, transactional and investment banking experience.

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