Houston Lake Mining Announces $250,000 Flow-Through Financing
Sudbury, Ontario –July 06, 2010 - Houston Lake Mining Inc. (TSX.V: HLM), is an advanced exploration company which has prospected and strategically acquired contiguous gold properties in Northwestern Ontario with the objective of transitioning into production. HLM ("the Company") also seeks platinum group and rare metal deposits in Northwestern Ontario. HLM is proposing a non-brokered private placement offering of up to a maximum of 1,666,667 common shares ("Common Shares") of the Company.
The Common Shares are to be issued under a unit offering whereby up to a maximum of 1,666,667 units ("Units") at a subscription price of $0.15 per Unit are to be offered. Each Unit shall consist of one (1) Common Share of the Company (to be issued on a "flow-through" basis pursuant to the Income Tax Act (Canada) (a "Flow-Through Share") and one-half of one (½) share purchase warrant (the "Warrant") (each full Warrant shall entitle the holder thereof to purchase one (1) additional common share of HLM at an exercise price of $0.20 for the first 12 months from closing and at an exercise price of $0.25 for a further 12 month period (the "Offering").
All of the Flow-Through Shares and Warrants issued pursuant to the private placement are subject to a 4-month hold period. Completion of the private placement is subject to the final approval of the TSX Venture Exchange. Proceeds from the financing will be used to advance Houston Lake's 100% owned and 100% optioned gold properties located near Kenora, Ontario.
All securities issued in connection with this financing have a hold period of 4 months. HLM reserves the opportunity to grant to eligible persons a finder's fee of a maximum 8% of the gross proceeds of the Offering and finder options of a maximum of 8% of the total number of Units sold under the Offering. Each finder option will be exercisable at an exercise price of $0.15 into one common share and one-half of one Warrant for a period of two years from closing.
About Houston Lake Mining Inc.
Houston Lake is an advanced, vertically integrated resource exploration company. The Company is actively exploring for gold, platinum group metal and rare metal deposits in Northwestern Ontario with a strategic focus on the West Cedartree gold project. Houston Lake's objective is to become a gold producer by surface mining its West Cedartree gold project and developing its 100% owned and optioned properties. The Company has a total of 42,497,638 common shares issued and outstanding. For additional information, please visit us at www.houstonlakemining.com.
Company Contacts
Houston Lake Mining
Trevor R. Walker, MBA
President
Tel: 705-897-7622
Fax: 705-897-7618
