June 19, 2007
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Coastport Capital Inc. Completes $2,913,750 Private Placement
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VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - June 19, 2007) -
NOT FOR DISSEMINATION INTO THE UNITED STATES OF AMERICA OR DISTRIBUTION TO U.S. NEWSWIRE SERVICES
Further to the Company's news release dated June 8, 2007, Mr. David Patterson, President of Coastport Capital Inc. (TSX VENTURE:CPP)(FRANKFURT:C1J), announces that it has closed on its non-brokered private placement ("Private Placement") and issued an aggregate 5,827,500 units ("Units") at a price of $0.50 per Unit for gross proceeds of $2,913,750. Each Unit consists of one common share ("Share") and one-half of one share purchase warrant ("Warrant"). Each whole Warrant is exercisable for a period of two years at a price of $0.60 per share. However, if over a period of 20 consecutive trading days between the date that is 4 months following the closing date and the expiry of the Warrant, the daily close price of the common shares on the TSX-V exceeds $1.20 on each of those 20 consecutive days, the Company will give written notice to the holders of the Warrants that the Warrants will expire at 4:00 p.m. (Vancouver time) on the 30th day following the giving of notice unless exercised by the holders prior to such date.
In connection with the Private Placement, the Company paid cash commission of $223,500 and issued 300,750 Agent's Warrants. Each Agent Warrant is exercisable for one common share at a price of $0.60 per share for a period of two years.
All securities issued with respect to the Private Placement are subject to a hold period expiring October 14, 2007. The Company plans to use the net proceeds of this financing primarily for the advancement of the Shyri Project and for general corporate purposes.
In addition, the Company has engaged Mau Capital Management ("Mau") of Point Roberts, Washington to provide investor relations services to the Company. The Company has agreed to pay Mau $2,500 per month, for an initial term of 4 months. Mr. John Lee, the principal of Mau, is a frequent speaker at resource conferences, and a publisher of articles for several internet news websites such as Kitco.com. The Company has granted 100,000 incentive stock options to Mau exercisable at a price of $0.50 per common share for a period of two years. The agreement is subject to the approval of the TSX Venture Exchange.
Also, the Company has granted 1,500,000 incentive stock options to certain of its directors, officers, employees and consultants. The stock options are exercisable at a price of $0.50 per common share for a period of two years.
ON BEHALF OF THE BOARD OF COASTPORT CAPITAL INC.
David Patterson, President
This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration and development activities and events or developments that the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see our public filings at www.sedar.com for further information.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.
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