/NOT FOR DISTRIBUTION TO U.S NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/
Issued Capital: 64,890,857
LONDON, ON, June 3 /CNW/ - Fortune Minerals Limited (TSX-FT) ("Fortune" or the "Company") is pleased to announce that it has issued an additional 667,000 units at $0.50 per unit and 195,000 flow-through shares at $0.70 per share under two previously announced non-brokered private placements to raise gross proceeds of $470,000. Each unit consists of one common share and one-half of one common share purchase warrant. Each whole warrant entitles the holder to purchase one common share for $0.80 on or before September 2, 2010. Fortune has raised aggregate gross proceeds of $4,720,125 from the two tranches of the private placements.
The net proceeds of the offerings will be used: (i) to fund environmental testing, permitting activities, engineering and other development work for the NICO gold-cobalt-bismuth-copper project in the Northwest Territories; (ii) for completion of the dismantling and demolition of the Golden Giant Mine buildings and process facilities at Hemlo, Ontario, and storage of salvaged assets for subsequent relocation to NICO upon receipt of mine permits; and (iii) for working capital and general corporate purposes.
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 absent registration or an applicable exemption from the registration requirements. This release does not constitute an offer for sale of securities in the United States.
About Fortune Minerals
Fortune Minerals is a diversified natural resource company with several mineral deposits and a number of exploration projects, all located in Canada. They include the Mount Klappan anthracite coal deposits in British Columbia, and the NICO cobalt-gold-bismuth deposit, the Sue-Dianne copper-silver deposit and other base and precious metals exploration projects in the Northwest Territories. Fortune Minerals is focused on outstanding performance and growth of shareholder value through assembly and development of high quality mineral resource projects.