Shear Minerals Ltd.
TSX VENTURE : SRM

Shear Minerals Ltd.

December 11, 2008 12:27 ET

Shear Minerals Ltd. Announces Private Placement Offering

EDMONTON, ALBERTA--(Marketwire - Dec. 11, 2008) - Shear Minerals Ltd. (TSX VENTURE:SRM) ("Shear") today announced that it will be offering on a non-brokered private placement basis (the "Offering"): (a) units ("Units") at a price of $0.07 per Unit; and (b) flow-through units of Shear ("FT Units") at a price of $0.07 per FT Unit, for aggregate gross proceeds of up to $1,500,000. Each Unit will consist of one common share of Shear ("Common Share") and one non-transferable share purchase warrant ("Warrant"). Each FT Unit will consist of one Common Share and one half of a Warrant. Each whole Warrant will entitle the holder to acquire an additional Common Share at a price of $0.20 at any time within 24 months of issuance. Insiders of Shear may participate in the Offering.

The Units and FT Units will be offered to qualified purchasers in reliance upon exemptions from the prospectus and registration requirements of applicable jurisdictions. The Offering is subject to certain conditions, including regulatory approval. The proceeds from the sale of FT Units will be used to incur expenditures which qualify as Canadian Exploration Expenses and will be spent primarily on Shear's Churchill Diamond Project in Nunavut.

Subject to approval by the TSX Venture Exchange and applicable securities legislation, Shear may pay a cash finder's fee and/or issue non-transferable share purchase warrants to acquire Common Shares to brokers or other third parties (a "Finder") in respect of sales made to purchasers referred to Shear by a Finder.

Shear is a Canadian-based exploration company focused on diamond exploration in the Canadian North, where it explores in established diamond districts and has discovered new ones. Shear currently has a portfolio of eight diamond projects, seven of which are drill-ready. Shear has advanced its flagship Churchill Diamond Project from a conceptual idea to an expanding diamond district hosting 88 kimberlites in the Kivalliq region of Nunavut.

On behalf of the Board

SHEAR MINERALS LTD.

Pamela Strand, P. Geol., President

This news release may contain forward looking statements, being statements which are not historical facts, including, without limitation, statements regarding potential mineralization, exploration results, resource or reserve estimates, anticipated production or results, sales, revenues, costs, "best-efforts" financings or discussions of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based upon a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Important factors that could cause actual results to differ materially from either of the Companies' expectations are in Company documents filed from time to time with the TSX or the TSX Venture Exchange and provincial securities regulators, most of which are available at www.sedar.com. The Companies disclaim any intention or obligation to revise or update such statements.

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

Contact Information

  • Shear Minerals Ltd.
    Pamela Strand
    President
    (780) 435-0045 or 1-866-298-9695
    Website: www.shearminerals.com