Aug 02, 2005
Private Placement Closed
The Company is pleased to announce that it has closed its non-brokered private placement and has issued 5,000,000 units (the "Units") at a price of $0.20 per Unit for gross proceeds of $1,000,000. Each Unit is comprised of one common share ("Share") and one-half of one share purchase warrant ("Warrant"). Each whole Warrant entitles the holder to acquire one additional common share ("Warrant Share") of the Company for a period of two years from closing at a price of $0.30 per share. The Shares and Warrant Shares are subject to a hold period expiring November 30, 2005. The Company intends to use a portion of the proceeds to commence the next stage of drilling on its Jackson's Arm property in Newfoundland, as well as for working capital purposes.
A Finders fee of $80,000 was paid in connection with the private placement in accordance with TSX Venture Exchange policies.
Visit our website at www.kermode.com for more information.
ON BEHALF OF THE BOARD OF DIRECTORS
"D. Neil Briggs"
No Stock Exchange Has Approved or Disapproved The Information Contained Herein