Royal Roads Corp.
TSX VENTURE : RRO

Royal Roads Corp.

September 28, 2005 12:49 ET

Royal Roads Corp. Announces Closing of Revised Private Placement Previously Announced on June 29, 2005

CALGARY, ALBERTA--(CCNMatthews - Sept. 28, 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.

Robert B. Fraleigh, President of Royal Roads Corp. (TSX VENTURE:RRO) (the "Corporation") announces that the Corporation has completed a private placement of flow through units ("Units"), raising an aggregate amount of $65,000.

The private placement consisted of the sale of 325,000 Units at a purchase price of $0.20 per Unit. Each Unit consisted of one common share in the share capital of the Corporation issued on a "flow-through" basis and one half of a common share purchase warrant ("Warrant"). Each whole Warrant entitles the holder thereof to acquire one regular common share in the share capital of the Corporation exercisable at $0.20 per common share for a period of 12 months from the date of issuance of the Units.

The terms of the private placement, as set out in the paragraph above, were revised from the terms previously announced for the private placement on July 29, 2005. Specifically, the purchase price per Unit was revised from $0.25 per Unit to $0.20 per Unit and the exercise price of the Warrants was revised from $0.25 to $0.20 per common share.

The securities issued by the Corporation pursuant to this private placement may not be traded by the subscribers until January 28, 2006, unless permitted under securities legislation.

Royal Roads Corp. intends to use the proceeds from the private placement to continue its exploration of its Tulks North property. The property hosts a number of VMS-style poly-metallic base metal prospects in addition to the Daniel's Pond silver-gold-copper-lead-zinc deposit which is open along strike and to depth. The Tulks North property in Newfoundland and Labrador is locate 15 miles west of the Aur Resources' Duck Pond base metal deposit.

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

Contact Information

  • Royal Roads Corp.
    Robert B. Fraleigh
    President
    (403) 261-3797