Maudore closes $4.38-million second tranche financing

2011-02-17 04:28 ET - News Release

Mr. Ronald Shorr reports

MAUDORE MINERALS RAISES A FURTHER $4,381,000 @ $8 PER SHARE

Maudore Minerals Ltd. has completed a second tranche of 547,625 units for gross proceeds of $4,381,000, which was increased by approximately $1.4-million. The first tranche of the previously announced non-brokered private placement closed on Dec. 30, 2010.

Each unit comprises one common share of the company, issued as a flow-through share and one-half of one common share purchase warrant, with each whole common share purchase warrant, exercisable at $8.00 per share until Aug. 16, 2012. The price per unit of $8.00 represented a premium of approximately 46 per cent to Maudore's closing price on Feb. 15, 2011, on the TSX Venture Exchange. The company paid a finder's fee of approximately 6 per cent of the gross proceeds of the offering to Oberon Capital Corp. The flow-through shares and warrants are both subject to a four-month hold period, which expires on June 17, 2011.

Chief executive officer, Ronald Shorr, stated, "The second tranche of this financing was increased by approximately 47 per cent; I'm pleased by the strong demand for our shares, and the opportunity to again raise exploration funds on such favourable terms for current shareholders."

Proceeds from the sale of these units will be used for exploration on the company's Comtois gold project and the associated land area. Four drill rigs are currently working 24 hours a day, seven days a week on the project.

We seek Safe Harbor