BHMNF Birch Mountain Announces Closing of Private Placement
Birch Mountain Announces Closing of Private Placement
Thursday December 23, 10:08 am ET
CALGARY, Dec. 23 /CNW/ - Birch Mountain Resources Ltd. (BMD:TSX Venture Exchange and BHMNF:OTC BB) ("Birch Mountain" or the "Corporation") announces that it has completed the previously announced private placement of 142,896 common shares issued on a flow-through basis at a price of $1.50 per share and 589,367 units ("Units"), each Unit consisting of one common share ("Common Share") and one common share purchase warrant ("Warrant") at a price of $1.50 per Unit for gross proceeds of $1,098,394.50. Each Warrant will entitle the holder to acquire one Common Share at a price of $2.00 per share until December 31, 2005. The securities issued are subject to a hold period under applicable securities law until April 24, 2005.
The financing was undertaken to meet certain listing requirements in support of the Corporation's application to list its common shares for trading on the American Stock Exchange.
Proceeds from the issue of Flow-Through Shares will be used solely to fund qualifying expenditures related to Birch Mountain's Fort McMurray limestone project. Proceeds from the issue of Units will be used for general corporate purposes principally related to the limestone project.
Forward Looking Statements: This news release contains certain forward- looking statements. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization, resources and reserves, exploration results, research and development results, and the future plans and objectives of Birch Mountain are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Birch Mountain's expectations are disclosed elsewhere in documents that are available to the public at www.sedar.com and www.sec.gov.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.
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http://www.newswire.ca/en/releases/orgDisplay.cgi?okey=26484
For further information
Douglas Rowe, President & CEO or Don Dabbs, Vice President & CFO, Birch Mountain Resources Ltd., Tel (403) 262-1838, Fax (403) 263-9888, www.birchmountain.com
Equity Communications, LLC : Steve Chizzik, Regional Vice President, Tel (973) 912-0980, Fax (973) 912-0973
To request a free copy of this organization's annual report, please go to http://www.newswire.ca and click on reports@cnw.
