VANCOUVER, July 7 /CNW/ - Cadillac Mining Corporation (Cadillac) (formerly Eclips Inc.) is pleased to announce the completion of the Reverse Take Over transaction by which Cadillac acquired 100% of Cadillac West Explorations Inc. (CWE), as well as the completion of a private placement financing through Blackmont Capital Inc. (Blackmont) as agent under which Cadillac raised the amount of $3.22 million. The common shares of Cadillac are expected to commence trading on the TSX Venture Exchange on July 10, 2006 under the symbol "CQX". Blackmont has placed 482 A Units, each comprising 7,500 flow-through common shares at $0.50, 2,500 regular common shares at $0.50, and 2,500 two-year share purchase warrants exercisable at $0.55 in the first year and $0.75 in the second year. Blackmont has also sold 162 B Units comprised of 10,000 regular shares at $0.50 and 10,000 two-year share purchase warrants on the same terms as per the A Units. All shares and warrants so issued are subject to a 4-month hold period. Blackmont was paid a cash commission of $289,800 comprising 9% of gross proceeds together with a $25,000 work fee, and received two-year brokers' warrants exercisable at $0.55 and $0.75 in the first and second years respectively to purchase up to 579,600 shares, being 9% of the total number of shares sold pursuant to the private placement. The agreement to purchase CWE was announced on December 12, 2005 and on January 31, 2006 the Share Exchange Agreement was signed. The acquisition of CWE and the reorganization of Eclips included the consolidation of Eclips' outstanding capital on a 1 for 8 effective basis, the issuance of 13,975,762 post-consolidation shares for the shares of CWE, and the issuance of an additional 608,015 post-consolidation shares in settlement of debt. Including the Blackmont financing, there are currently 23,873,132 post-consolidation shares outstanding in Cadillac Mining Corporation. The principal shareholders of Cadillac are Resource Finance & Investment Ltd. of Hamilton, Bermuda which owns 31.7%, and Victor Erickson of Vancouver B.C. and Andre Audet of Courtenay B.C. who each own 10.8%. The total of 12,714,600 shares held by such shareholders are subject to escrow, with releases to be effected in stages over a three-year period. CWE has been heavily engaged in mineral exploration in western Quebec since incorporation in 2004. Its objective is to locate and develop precious metal mineralization in the Abitibi region, primarily in association with the Cadillac Break. CWE to the end of 2005 expended more than $600,000 in exploration costs on its approximately 13,000 hectares of wholly-owned claims, and on about 2200 hectares held under a 50% option from Richmont Mines Inc., all on or in close proximity to the Break, west of Rouyn-Noranda. The financing proceeds will be used to fund administrative expenses and an exploration budget of approximately $1.5 million devoted largely to drilling for the remainder of 2006. Targets are intrusive-related gold mineralization in the Cadillac Break supported by prior geophysical and lithogeochemical surveys conducted on the overlying Proterozoic sediments, and shear-and-vein-hosted mineralization north of the Break on the Richmont options, where Cadillac has previously reported encouraging drill results. Cadillac has been drilling with two machines since May 15th, and has completed approximately 5060 meters in eight core holes to date. Six holes comprising about 3700 meters have been drilled on the Richmont options, while the others have focused on the Company's wholly-owned claims. The Company expects shortly to be able to release preliminary analytical results for the initial drill holes. A Technical Report on the Cadillac West Project dated June 1, 2005 is available for review on SEDAR. Further details about the acquisition of CWE and the related transactions can be found in the Information Circular dated April 13, 2006, also available on SEDAR. The Company has established a website at www.cadillacmining.com. Also, the directors of Cadillac have granted a total of 1,400,000 stock options to directors and officers, exercisable at $0.50 for up to five years. The head office of Cadillac Mining Corporation is located at 3741 West 36th Avenue, Vancouver, B.C. V6N 2S3. The Company will retain Eclips' existing fiscal year, which ends May 31st. The directors of Cadillac Mining Corporation are Andre J. Audet, P.Eng., Michael J. Brickell, C.A., David W. Childs, P.Eng., Victor F. Erickson, P.Eng., and Elmer B. Stewart, P.Geol. Statements contained in this release that are not historical facts are "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties which could cause actual developments or results to vary materially from those projected by Management. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release, which has been prepared by Management. %SEDAR: 00009048E