Oct 20 2010
Volcanic Metals Corp. (TSX VENTURE:VOL) has announced that it has closed its non-brokered private placement announced on September 21, 2010, issuing a total of 3,661,501 flow-through common shares at a price of $0.15 per Share for gross proceeds of approximately $549,225.
The Shares are subject to a hold period expiring February 16, 2011.
Volcanic will use the offering proceeds to fund the initial exploration and drilling of a test well on each of Aldon Oils Ltd.'s 320-acre Viewfield Property and Brownstone Resource Ltd.'s 6,400-acre Moosomin Property, both located in the Southeast Saskatchewan Bakken resource play. Volcanic will earn a 15% working interest in the Viewfield test well, and a 12.5% working interest in the Moosomin test well. Following the completion and evaluation of the test wells, Volcanic will have the option to continue participating in the projects.
John LaGourgue, President of Volcanic states, "We are very pleased at the opportunity to participate in the evaluation of these two prospective stage projects with Aldon and Brownstone, both very successful and experienced exploration and drilling companies focused on the Bakken."
Source: Volcanic Metals Corp.