ST. JOHN'S, Jan. 3 /CNW/ - Vulcan Minerals Inc. ("the Company" TSX-V:
VUL), is pleased to report that the private placement in respect to $2,385,750
announced on December 15, 2005 closed on December 29, 2005, subject to final
TSX Venture Exchange approval. An additional $100,000 portion of the non-flow
through units is expected to close on or before January 13, 2006. The
placement consisted of 4,962,500 flow-through units at a price of $0.40 per
unit consisting of one common share and one-half of a common share purchase
warrant. One whole warrant is exercisable into one common share (non-flow
through) at a price of $0.60 for 18 months. Also, 1,145,000 common share units
at a price of $0.35 per unit were issued consisting of one common share and
one-half common share purchase warrant each whole warrant is exercisable into
one common share at a price of $0.50 per share for 18 months. The agents
received a 7% cash commission plus broker warrants amounting to 10% of the
total units sold. The warrants are exercisable into common shares at $0.50 per
unit for a period of 12 months. The proceeds are to be used for the Company's
ongoing exploration program and working capital. The securities are subject to
a 4-month hold period.
Vulcan is a junior exploration company focussed on exploring for
petroleum in Western Newfoundland both onshore and offshore. The Company also
owns petroleum rights over an area prospective for coalbed methane in Western
Newfoundland. As well, the Company owns mineral rights to a nickel/copper
discovery in Labrador and a gold prospect in Central Newfoundland. Both
mineral projects have been optioned out to Nortec Ventures Corp.
The TSX Venture Stock Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
%SEDAR: 00003997E
