* NOT FOR DISTRIBUTION TO U.S NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES *
London, Ontario - Fortune Minerals Limited (TSX-FT) ("Fortune" or the "Company") is pleased to announce that it has issued 8,425,000 units at $0.50 per unit and 53,750 flow-through shares at $0.70 per share under two non-brokered private placements to raise gross proceeds of $4,250,125. Each unit consists of one common share and one-half of one common share purchase warrant. Each whole warrant entitles the holder to purchase one common share for $0.80 on or before September 2, 2010. Fortune expects to close a second, smaller and final tranche under both private placements on or about June 1, 2009.
The net proceeds of the offerings will be used: (i) to fund environmental testing, permitting activities, engineering and other development work for the NICO gold-cobalt-bismuth-copper project in the Northwest Territories; (ii) for completion of the dismantling and demolition of the Golden Giant Mine buildings and process facilities at Hemlo, Ontario, and storage of salvaged assets for subsequent relocation to NICO upon receipt of mine permits; and (iii) for working capital and general corporate purposes.
The securities being offered have not, nor will they be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons. This release does not constitute an offer for sale of securities in the United States.
For further information please contact:
Fortune Minerals Limited
Robin Goad, President - or -
Lindsay Simmons, IR Coordinator
Tel.: (519) 858-8188
Fax: (519) 858-8155
www.fortuneminerals.comRenmark Financial Communications
Dan Symons, Account Manager - or -
Barbara Komorowski, Account Manager
Tel. (514) 939-3989
Fax. (514) 939-3717
www.renmarkfinancial.comThis press release contains forward-looking information. This forward-looking information includes, or may be based upon, estimates, forecasts, and statements as to management's expectations with respect to, among other things, anticipated future financing. Forward-looking information is based on the opinions and estimates of management at the date the information is given, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. These factors include uncertainties relating to the availability and timing of such financing and other factors. The forward-looking information contained herein is given as of the date hereof and the Company assumes no responsibility to update or revise such information to reflect new events or circumstances, except as required by law.