News
Release
GlobeStar
Announces Closing Of $31.8 Million Financing
May 29,
2007
Toronto,
Ontario -- May 29, 2007 -- GlobeStar Mining Corporation ("GlobeStar" or
the "Company") (TSX: GMI) is pleased to announce the closing of its
previously announced "bought
deal" private placement equity financing of 15,905,000 common shares at a price
of $2.00 per common share for aggregate gross proceeds of $31,810,000 (the
"Offering"). The Offering was undertaken by a syndicate of underwriters
comprised of Desjardins Securities Inc., Westwind Partners Inc. and Jennings
Capital Inc., with Desjardins acting as lead underwriter. The underwriter received a cash
commission in connection with the Offering and no broker warrants were issued.
The common shares sold under the Offering are subject to a four-month hold
period expiring September 30, 2007.
GlobeStar will use proceeds of the Offering to partially fund the
continued development of its permitted Cerro de Maimn copper/gold project in
the Dominican Republic and for general working capital
purposes.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The
offered securities mentioned in this news release will not be registered under
the United States Securities Act of 1933, as amended (the "U.S. Securities Act")
and may not be offered or sold within the United States or to, or for the
account or benefit of U.S. persons except in certain transactions exempt from
the registration requirements of the U.S. Securities
Act.
About GlobeStar
GlobeStar Mining Corp. is a well funded mine development company,
developing the permitted Cerro de Maimn copper/gold project, currently
anticipated to be due for completion in summer 2008. The Company is also aggressively exploring an extensive base and precious metals exploration portfolio in the Dominican Republic with a US$ 4M exploration budget for nickel
and copper/gold exploration, including a 207-hole nickel drilling
program.
Contact:
GlobeStar Mining Corporation
William Fisher
or
JP Chauvin
CEO
President and COO
Email: wfisher@globestarmining.com
Email: jp.chauvin@globestarmining.com
Tel.: (416) 868-6678
Tel.: (416) 868-6678
Bay
Street Connect
Coal
Harbor Communications
Gus Garisto
Dale Paruk
Email:
gus@baystreetconnect.com
Email: dale@coal-harbor.com
Tel.: (416) 607 6023
Tel.:
(604) 662-4505
Fax: (604) 662-4547
Reader Advisory
The
information in this news release may include certain information and statements
about management's view of future events, expectations, plans and prospects that
constitute forward-looking statements. Assumptions that are subject to
significant risks and uncertainties are the basis for these statements. Because
of these risks and uncertainties and, as a result of a variety of factors, the
actual results, expectations, achievements or performance may differ materially
from those anticipated and indicated by these forward looking statements.
Although GlobeStar believes that the expectations reflected in forward looking
statements are reasonable, we can give no assurances that the expectations of
any forward-looking statements will prove to be correct. GlobeStar disclaims any
intention, and assumes no obligation, to update or revise any forward-looking
statements to reflect actual results, whether as a result of new information,
future events, changes in assumptions, changes in factors affecting such forward-looking statements or otherwise, except as required pursuant to
applicable securities laws.