Running Fox Resource Corp.

Running Fox Resource Corp.

January 31, 2006 13:21 ET

Running Fox Resources (TSX-V-RUN: OTC-RFXRF) Announces Oversubscribed Private Placement Financing of $1,275,000

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 31, 2006) -

Steven Schurman, CEO, on behalf of the Board of Directors reports:

Further to the News Release dated January 18, 2006, Running Fox (TSX VENTURE:RUN) (OTCBB:RFXRF) has increased its non-brokered private placement financing from $750,000 to $1,275,000.

The Units are priced at 50 cents for a share and a two year warrant, with each warrant exercisable at 65 cents in the first year and 75 cents in the second year.

The warrants will be subject to an acceleration clause such that, should the company's common shares trade for at least $1.00 per share for 20 consecutive trading days, the company may, by notice to the warrantholders, reduce the exercise period to 30 days following issuance of such notice. The private placement is subject to TSX-V approval.

The Company is making progress on defining further low-risk development drilling and wellbore recompletion targets in Alberta. Cash flow from existing production, cash on hand, and proceeds from the above noted financing will augment first quarter drilling and development of prime targets.

Running Fox is advancing towards self-generating growth through the development of its prospects and cash flow. Other acquisitions of oil and natural gas opportunities are being reviewed however, while the projects are significant, there is no assurance that any new major transaction will be completed in the near future.

On behalf of the Board of Directors, Steven Schurman, CEO.

The Company relies on legislation applicable to forward looking statements.

Contact Information

  • Running Fox Resources
    Steven Schurman
    (604) 331-6001