Shoreham Resources Ltd.

Shoreham Resources Ltd.

July 18, 2007 15:33 ET

Shoreham Resources Completes $2,183,250 Flow-Through Private Placement and Announces Additional $300,000 Subscription

TORONTO, ONTARIO--(Marketwire - July 18, 2007) - David A. Bending, President and CEO of Shoreham Resources Ltd. (TSX VENTURE:SMH) (the "Company") is pleased to announce that the Company has received final approval from the TSX Venture Exchange and has closed its previously announced private placement of flow-through units (see the June 13, 2007 and June 26, 2007 news releases) at a price of $0.45 per unit (the "Units"), raising gross proceeds of $2,183,250. Each Unit consists of one flow-through common share and one non-flow through warrant. Each warrant entitles the holder to acquire one non-flow through common share at a price of $0.65 during the 18-month period following issuance of the warrants. The warrants have a forced exercise provision, which allows the Company to communicate or news release an earlier expiry date for the warrants of 30 days from the communication date if the common shares of SMH have traded for $0.90 or more for 10 consecutive trading days, anytime after the 4-month restricted period has expired. All securities issued pursuant to the private placement are subject to a restricted period of four months from the date of issuance.

On June 26, 2007 the Company announced that it had closed on $1,883,250 of this $2,183,250 private placement. The remaining $300,000 of Units were acquired by the MineralFields Group and closed on July 10, 2007. The Company paid a finders fee of 46,666 non flow-through common shares plus 46,666 broker warrants on this portion of the private placement. The broker warrants entitle the holder to purchase one non flow-through common share of the Company for $0.45 for a period of 18-months following issuance. The broker warrants have a forced exercise provision that allows the Company to communicate an earlier expiry date of 30 days from the communication date if the shares have traded for $0.90 or more for 10 consecutive trading days, anytime after the 4-month legend period has expired. The finder's fee shares and broker warrants were paid to Limited Market Dealer Inc., of Toronto, Ontario. All proceeds from these private placements will be used for flow-through expenditures on Shoreham's various properties in the Red Lake Mining District of northwestern Ontario.

In addition, the Company is pleased to announce that MineralFields Group has expressed an interest to purchase an additional $300,000 of flow-through units on terms and conditions as noted above. This additional subscription for Units by MineralFields Group is subject to the receipt of all required TSXVE and regulatory approvals. MineralFields Group (a division of Pathway Asset Management) is a Toronto-based mining fund with significant assets under administration that offers its tax-advantaged super flow-through limited partnerships to investors throughout Canada during most of the calendar year, as well as hard-dollar resource limited partnerships to investors throughout the world. Information about MineralFields Group is available at "We are very pleased to be entering into this relationship with MineralFields Group", said David Bending, President & CEO. "This is an important milestone in the growth of Shoreham Resources Ltd. and we look forward to working with MineralFields Group as we develop our exploration properties in Ontario and Guyana."

Shoreham Resources Ltd. is a Canadian resource company listed on the TSX Venture Exchange: Symbol "SMH"

The TSX Venture Exchange has not reviewed nor accepted responsibility for the adequacy or accuracy of the contents of this news release.

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