MCALLEN, TX, June 13, 2013 /CNW/ - James W. Collins of 900 East Lakeview
Drive McAllen, Texas (the "Offeror") acquired beneficial ownership and control of 5,662,984 common shares
("Common Shares") of Montana Exploration Corp. ("Montana") pursuant to the exercise of its rights and standby commitment under
Montana's rights offering which closed June 4, 2013 (the "Rights Offering") for aggregate gross proceeds of $1,132,596.80. The Common Shares were
acquired by James Collins as well as by entities over which James
Collins exercises control or direction including ANG Partners, Ltd. ("ANG") and Rioco Partners, Ltd. As compensation for providing the standby
commitment under the Rights Offering, Collins, through ANG., acquired
625,000 warrants (the "Standby Warrants"), each warrant entitling ANG to purchase one Common Share at an
exercise price of $0.25 per Common Share with a term expiring six
months from closing of the Rights Offering.
Immediately following closing of the Rights Offering, the Offeror had
beneficial ownership of, and control and direction over, directly or
indirectly, approximately 43.6% of the issued and outstanding Common
Shares on an undiluted basis and approximately 52.2% on a fully diluted
basis, assuming the full exercise of convertible securities held by the
The acquisition of securities in Montana by the Offeror is for
investment purposes. The Offeror may from time to time dispose of, or
acquire, additional securities of Montana. The Common Shares were sold
to the Offeror in reliance upon the rights offering exemption in
Section 2.1 of National Instrument 45-106 Prospectus and Registration
Exemptions ("NI 45-106") and the Standby Warrants were issued to Collins in reliance upon the
employee, executive officer, director and consultant exemption in
Section 2.24 of NI 45-106.
This press release is issued pursuant to National Instrument 62-103 -
The Early Warning System and Related Take-Over Bid and Insider
Reporting Issues, which also requires a report to be filed with
regulatory authorities in each of the jurisdictions in which Montana is
a reporting issuer containing information with respect to the foregoing
matters (the "Early Warning Report"). A copy of the Early Warning Report will appear with Montana's
documents on the System for Electronic Document Analysis and Retrieval
and may also be obtained by contacting Maggie Thompson on behalf of the
Offeror at (956) 686-5491.
The TSX Venture Exchange has not reviewed and does not accept the
responsibility for the accuracy or adequacy of this press release.
SOURCE: James W. Collins
For further information:
A copy of the Early Warning Report will appear with Montana's documents on the System for Electronic Document Analysis and Retrieval and may also be obtained by contacting Maggie Thompson on behalf of the Offeror at (956) 686-5491.