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Vulcan Minerals Inc. $1,500,000 Financing and 2005 Drilling Program Completed
Vulcan Minerals Inc. $1,500,000 Financing and 2005 Drilling Program Completed.
About this update from Vulcan Minerals Inc.
[{"type":"text","content":"\n\n\n\n\nStock Symbol: TSX: VUL\nShares issued: 28,610,884\n\nST. JOHN'S, NL, Dec. 14 /CNW/ - Vulcan Minerals Inc. (\"the Company\" \nTSX-V: VUL), is pleased to announce the following:\n\nFinancing\n---------\n\nThe Company proposes to do a brokered $1.5 million dollar financing\nconsisting of up to 1,428,570 common share units at a price of $0.35 each unit\nconsisting of one common share and one-half common share purchase warrant. One\nwhole warrant is exercisable in to one common share at a price of $0.50 per\nshare for a period of eighteen months. Also, up to 2,500,000 flow-through\nunits at a price of $0.40 per unit each flow-through consisting of one common\nshare on a flow-through basis and one-half of a common share purchase warrant.\nOne whole warrant is exercisable into one common share (non-flow-through) at a\nprice of $0.60 per share for 18 months. Dominick and Dominick Securities Inc.\nwill act as lead agent together with Jennings Capital Inc. and Acadian\nSecurities Incorporated as co-agents on a best efforts basis. A cash\ncommission of 7% plus broker warrants amounting to 10% of the total units sold\nis payable to the agents. The broker warrants will be exercisable at $0.50 for\na period of 12 months. The proceeds are to be used for the Company's ongoing\nexploration program and working capital. The financing is subject to TSX\nVenture Exchange approval.\n\n2005 Drilling Program Completed\n-------------------------------\n\nThe Company also announces completion of its 2005 drilling program. The\nCompany drilled four wells in the Bay St. George Basin, Western Newfoundland.\nThe most recent well, Hurricane No. 2, has been drilled to total depth of 935m\nand logged. No commercial hydrocarbons were encountered, although numerous oil\nshows in the form of cut fluorescence in drill cuttings were encountered over\nseveral intervals totally 255 metres. Once again it demonstrates the presence\nof an active petroleum system in the area. The Hurricane No. 2 well location\ndid not penetrate the evaporite cap rock encountered in Hurricane No. 1 rather\nit targeted a seismically anomalous package interpreted to contain a separate\ncap rock. The anomaly did not contain a cap rock which negated its trapping\npotential. This stratigraphic sequence of rocks was drilled for the first time\nand provides invaluable information for fu...