/NOT FOR DISTRIBUTION TO U.S NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/ Issued Capital: 55,550,107
LONDON, ON, Oct. 16 /CNW/ - Fortune Minerals Limited (TSX-FT) ("Fortune" or the "Company") is pleased to announce that it has completed the private placement of flow-through shares previously announced in the Company's news releases of October 1 and 2, 2008.
The Company raised gross proceeds of $5,002,500 through the issuance of 4,350,000 flow-through shares at a price of $1.15 per share through a syndicate of dealers led by CIBC World Markets Inc. and including Jones, Gable & Company Limited (the "Agents").
The proceeds raised from the financing will be used primarily for exploration and development of the Company's NICO gold-cobalt-bismuth-copper project in the Northwest Territories and its Mount Klappan anthracite coal project in northwest British Columbia.
The Agents received an aggregate cash commission of 6% of the gross proceeds of the financing.
The securities being offered have not, nor will they be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons. This release does not constitute an offer for sale of securities in the United States.