CALGARY, Nov. 14 /CNW/ - General Properties Ltd. (TSX Venture Exchange: GPL) (the "Corporation") is pleased to announce the terms of a proposed financing. The Corporation proposes to undertake a non-brokered private placement offering of up to 2,500,000 equity units (the "Units") at a price of $0.50 per Unit, each Unit consisting of one (1) common share of the Corporation to be issued on a "flow-through" basis pursuant to the Income Tax Act (Canada) (the "Flow-Through Shares"), one (1) common share of the Corporation and one (1) common share purchase warrant (the "Warrants"), each Warrant entitling the holder thereof to purchase one (1) common share of the Corporation at $0.35 per share for a period of 12 months from the issuance of the Warrant. The Corporation has allocated $0.25 of the price of the Unit to the Flow-Through Shares.
The net proceeds from the proposed private placement will be used to undertake additional exploration in respect of the lands (the "Lands") covered by the 32 Metallic and Industrial Mineral Permits held by the Corporation, such permits covering an area of approximately 213,206 hectares (823.2 square miles) in the Peace River area of northern Alberta, and for general corporate purposes. The Corporation proposes to conduct up to 5,000 meters of exploratory drilling on its Rambling Creek and South Whitemud Lake prospects as well as other exploration on the Lands.
Closing of the private placement is targeted for December 28, 2007 or such other date as the Corporation determines. The proposed private placement by the Corporation is subject to approval by the TSX Venture Exchange.
The Corporation also announces that it decided not to complete its proposed non-brokered private placement of up to 1,700,000 "flow-through" shares at $0.60 per "flow-through" share and up to 1,700,000 equity units at $0.50 per equity unit, previously announced in a June 4, 2007 press release of the Corporation. The Corporation's decision not to proceed was a result of the downturn in the markets generally around the time of that proposed private placement and the subsequent decrease in the Corporation's stock price.
The Corporation is a mining exploration and development company with holdings in northern Alberta, Canada. Information about the Corporation can be found at www.sedar.com.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this press release and has neither approved nor
disapproved the contents of this press release.