$3.25 3.1 million units Vancouver, B.C. - Bear Creek Mining (TSX Venture: BCM) is pleased to announce that it has entered into an agreement with a syndicate of underwriters co-led by Haywood Securities Inc., Canaccord Capital Corp. and including Pacific International Securities Inc. pursuant to which the syndicate has agreed to purchase 3,100,000 units from treasury at a price of $3.25 per unit for gross proceeds of approximately $10,230,000 million. The offering is being done on a private placement basis and is subject to regulatory approvals. Each unit is comprised of one common share and one-half of one common share purchase warrant. Each whole common share purchase warrant will entitle the holder to purchase one common share of the Company at a price of $4.25, until two years from the closing date. The offering is expected to close on or about August 31, 2005.
The underwriters have been granted an option to increase the size of the financing by an additional 500,000 units, up to 48 hours prior to the closing date.
The use of proceeds are for general corporate purposes, including accelerated exploration drilling and preliminary metallurgy and engineering studies on the Company's Corani silver-gold project, and on-going exploration programs on other projects.
About Bear Creek Mining Corporation
Bear Creek Mining Corporation's focus is on the discovery of high quality economic gold and silver deposits with a focus on Peru. Bear Creek's well-qualified exploration team has extensive experience in Peru where the Company maintains an ongoing aggressive exploration and acquisition program. Bear Creek's Management and Board of Directors have a long and successful track record of creating shareholder value through exploration and discovery.
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Andrew Swarthout -- President and CEO, or Patrick De Witt, Investor Relations
Phone: 604-685-6269 Direct: 604-628-1111 Fax: 604-685-6268
E-mail: info@bearcreekmining.com
For further information, please visit the Company's website (www.bearcreekmining.com)