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Post by Franko10 ™ on Aug 23, 2005 14:22:39 GMT -5
Forest Gate Announces $1 Million Flow-Through Private Placement
14:43 EDT Tuesday, August 23, 2005
MONTREAL, Aug. 23 /CNW/ - Forest Gate Resources Inc. is pleased to announce that it has entered into a private placement financing agreement with Northern Securities Inc., to raise up to $1 million in flow-through shares at $0.38 per share.
The proceeds of the financing will be used to further develop the company's Canadian diamond exploration projects.
Northern will be paid a non-refundable work fee of $10,000. In addition, Forest Gate will issue Northern, at the closing of the financing, a commission of 9% and Broker Warrants equal to 9% of the number of flow-through shares sold pursuant to the offering. Each of these Broker Warrants will be exercisable into one common share at any time prior to the date that is 24 months from the closing of the financing.
It is anticipated that the financing will be completed on or before the close of business on September 16, 2005.
Forest Gate is a publicly traded mineral exploration company with diamond properties in Saskatchewan and precious and base metal properties in New Brunswick. The company's shares and warrants trade under the symbol FGT on the TSX Venture Exchange.
Forward-Looking Statements
This news release contains discussion of items that may constitute forward-looking statements within the meaning of securities laws that involve risks and uncertainties. Although the company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurances that its expectations will be achieved. Factors that could cause actual results to differ materially from expectations include the effects of general economic conditions, actions by government authorities, uncertainties associated with contract negotiations, additional financing requirements, market acceptance of the Company's products and competitive pressures. These factors and others are more fully discussed in Company filings with Canadian securities regulatory authorities.
The TSX Venture Exchange has not reviewed nor does it accept
responsibility for the adequacy or accuracy of this news release.
For further information: ROBERT KRAMBERGER, INVESTOR RELATIONS, FOREST GATE RESOURCES INC., (866) 666-3040, RKRAMBERGER@FORESTGATE.CA, WWW.FORESTGATE.CA OR TREVOR BURNS, PRESIDENT, TIGER CAPITAL CORPORATION, TORONTO, ONTARIO, (416) 252-3663, INVESTOR@TIGERCAPITAL.COM
14:43 EDT Tuesday, August 23, 2005
MONTREAL, Aug. 23 /CNW/ - Forest Gate Resources Inc. is pleased to announce that it has entered into a private placement financing agreement with Northern Securities Inc., to raise up to $1 million in flow-through shares at $0.38 per share.
The proceeds of the financing will be used to further develop the company's Canadian diamond exploration projects.
Northern will be paid a non-refundable work fee of $10,000. In addition, Forest Gate will issue Northern, at the closing of the financing, a commission of 9% and Broker Warrants equal to 9% of the number of flow-through shares sold pursuant to the offering. Each of these Broker Warrants will be exercisable into one common share at any time prior to the date that is 24 months from the closing of the financing.
It is anticipated that the financing will be completed on or before the close of business on September 16, 2005.
Forest Gate is a publicly traded mineral exploration company with diamond properties in Saskatchewan and precious and base metal properties in New Brunswick. The company's shares and warrants trade under the symbol FGT on the TSX Venture Exchange.
Forward-Looking Statements
This news release contains discussion of items that may constitute forward-looking statements within the meaning of securities laws that involve risks and uncertainties. Although the company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurances that its expectations will be achieved. Factors that could cause actual results to differ materially from expectations include the effects of general economic conditions, actions by government authorities, uncertainties associated with contract negotiations, additional financing requirements, market acceptance of the Company's products and competitive pressures. These factors and others are more fully discussed in Company filings with Canadian securities regulatory authorities.
The TSX Venture Exchange has not reviewed nor does it accept
responsibility for the adequacy or accuracy of this news release.
For further information: ROBERT KRAMBERGER, INVESTOR RELATIONS, FOREST GATE RESOURCES INC., (866) 666-3040, RKRAMBERGER@FORESTGATE.CA, WWW.FORESTGATE.CA OR TREVOR BURNS, PRESIDENT, TIGER CAPITAL CORPORATION, TORONTO, ONTARIO, (416) 252-3663, INVESTOR@TIGERCAPITAL.COM
