Houston Lake Mining Announces $500,000 Flow-Through Financing
Sudbury, Ontario CANADA, Dec 07, 2009 (Filing Services Canada via COMTEX News Network) --
Houston Lake Mining Inc. (HLM - TSX Venture)(HLKMF - OTCBB_Pink_Sheets), today reported that the Company is proposing a non-brokered private placement offering of up to maximum of 2,000,000 common shares ("Common Shares") of the Company. The Common Shares are to be issued under a unit offering whereby up to a maximum of 2,000,000 units ("Units") at a subscription price of
.25 per Unit are to be offered. Each Unit shall consist of one (1) Common Share of the Company (to be issued on a "flow-through" basis pursuant to the Income Tax Act (Canada) (a "Flow-Through Share") and one-half of one (1/2) share purchase warrant (the "Warrant") (each full Warrant shall entitle the holder thereof to purchase one (1) additional common share of the Company at an exercise price of
.30 for the first 12 months from closing and at an exercise price of
.35 for a further 12 month period (the "Offering").
All of the Flow-Through Shares and Warrants issued pursuant to the private placement are subject to a 4-month hold period. Completion of the private placement is subject to the final approval of the TSX Venture Exchange. Proceeds from the financing will be used to advance Houston Lake's 100% owned and 100% optioned gold properties located near Kenora, Ontario.
All securities issued in connection with this financing have a hold period of 4 months. The Company reserves the opportunity to grant to eligible persons a finder's fee of a maximum 8% of the gross proceeds of the Offering and finder options of a maximum of 8% of the total number of Units sold under the Offering. Each finder option will be exercisable at an exercise price of
.25 into one common share and one-half of one Warrant for a period of two years from closing.
About Houston Lake Mining Inc.
Houston Lake's objective in the short term is to become a gold producer by surface mining our West Cedartree gold project and apply the profits towards the development of our 100% owned and optioned northwestern Ontario properties. The Company has a total of 39,957,638 common shares issued exclusive of the announced financing. For additional information, we invite you to visit us at www.houstonlakemining.com.
Company Contacts:
E. Grayme Anthony B.Sc., P. Geo., FGAC, MBA
President & CEO
Tel: (705) 897-7622
Fax: (705) 897-7618
ganthony@vianet.on.ca
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registered filings what are available at www.sedar.com.
Source: Houston Lake Mining Inc. (TSX-V: HLM) (Pink Sheets: HLKMF) https://www.houstonlakemining.com
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