TORONTO, Oct. 20 /CNW/ - Dumont Nickel Inc. (DNI:TSX-Ven, DG7:FSE) is
pleased to announce that it has completed a non-brokered private placement of
flow-through and non-flow-through units, with arm's length and non-arm's
length parties, for total proceeds of $105,000, pursuant to terms announced
September 24, 2008.
The financing consisted of (i) placement of 300,000 units at a price of
25 cents per unit, for gross proceeds of $75,000, each unit consisting of five
shares at five cents each, comprising four flow-through shares, one common
share and one common share purchase warrant entitling the holder to purchase
an additional common share of the company at a price of 10 cents for a period
of eighteen months from closing; and (ii) placement of 600,000 units at a
price of 5 cents per unit, for gross proceeds of $30,000, each unit consisting
of one common share and one common share purchase warrant entitling the holder
to purchase an additional common share of the company at a price of 10 cents
for a period of eighteen months from closing.
Certain insiders of Dumont participated in the placement to an aggregate
of $30,000. A commission will be paid in connection with some of the
placements. The securities issued under the private placements are subject to
a four-month hold period expiring on February 18, 2009.
Proceeds of the financing will be applied toward completion of a
Technical Report in connection with Dumont's polymetallic black shale
Properties in Alberta, for commencing initial preparatory work on the
Properties, and toward meeting short term operating working capital
The Technical Report for the Alberta Properties is nearly completed. It
will shortly be filed to SEDAR and summary of its findings will be announced.
Dumont is encouraged by developments from other polymetallic black shale
projects elsewhere in the world; notably, recent commencement of production at
the Talvivaara Ni-Co-Zn-Cu-Mn mine, Talvivaara Mining Company (LSE:TVK),
Finland; ongoing developments from the MyrViken U-Mo-V alum shale project,
Continental Precious Minerals (TSX-V:CZQ), Sweden; and the very recent
announcement of a AUS$460 million project funding and sale option agreement
between Aura Energy (ASX:AEE) and Sino King Enterprise Investment Limited to
advance Aura's Swedish U-Mo-V alum shale Storsjon project forward.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
DNI - TSX Venture
DG7 - Frankfurt
Issued: 104,798,010 (106,898,010 post financing)
For further information:
For further information: Dumont Nickel Inc., Shahe Sabag, President &
CEO or Denis Clement, Chairman, (416) 595-1195, email firstname.lastname@example.org.
Also visit www.dumontnickel.com