VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 19, 2007) -
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
North Arrow Minerals Inc. ("the Company") (TSX VENTURE:NAR) is pleased to announce the closing of the brokered private placement and non-brokered private placement originally announced on June 21, 2007. The brokered private placement was placed by a syndicate led by Haywood Securities Inc. and including Canaccord Capital Corporation (collectively, the "Agents") for 5,000,000 flow through units of the Company at a price of $0.40 per flow through unit for gross proceeds of $2,000,000. The non-brokered private placement consisted of an additional 1,250,000 flow through units for further proceeds of $500,000. Each flow through unit, whether brokered or non-brokered, (a "FT Unit") consisted of one flow through share (a "FT Share") and one-half of one common share purchase warrant (each whole such purchase warrant being a "Warrant"). Each Warrant is exercisable into one common share at a price of $0.50 until January 19, 2009.
The net proceeds from the FT Unit offering will be used to fund exploration on the Company's mineral properties, including a drilling program on the Silvertip precious metal property in Nunavut.
The Agents were paid a fee of 7.5% of the gross proceeds from the sale of the FT Units sold through it, payable as to $38,062 in cash and 279,844 compensation units, each compensation unit to be issued at $0.40 per unit and consisting of one common share (a "Compensation Share") of the Company and one half of one common share purchase warrant (a "Compensation Warrant"), with the Compensation Warrants having the same terms as the Warrants issued to the subscribers.
As additional compensation, the Agents were issued 500,000 compensation options, each entitling the holder to subscribe for one common share of the Company at $0.40 per Share exercisable until January 19, 2009.
In connection with the completion of the non-brokered private placement, the Company paid a finder's fee of $13,752 and issued 45,750 finder's options, each entitling the holder to subscribe for one common share of the Company at $0.40 until January 19, 2009.
The FT Shares, Warrants, Compensation Shares, Compensation Warrants, compensation options, finder's options and common shares issuable on the exercise of the Warrants, Compensation Warrants, compensation options and finder's options are all subject to a four month hold period expiring November 20, 2007.
ON BEHALF OF THE BOARD
Gordon Clarke, President & CEO
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
For more information, please contact
North Arrow Minerals Inc.
Gordon Clarke
President & CEO
(867) 873-8483
Email: [email protected]
