Mantle Resources Inc. Closes $4,025,000 Private Placement
April 10, 2007
Vancouver, B.C. – April 10, 2007 – Mantle Resources Inc. (TSX Venture: MTS; Frankfurt: AOF7E1) (the "Company") is pleased to announce that, further to its news release dated March 15, 2007, it has received final TSX Venture Exchange acceptance with respect to the closing of its non-brokered private placement, raising $4,025,000. The financing, for which there was significant demand, was fully subscribed and consisted of 3,500,000 units priced at $1.15 per unit.
Lundin Mining Corp. (TSX: LUN) purchased 1,700,000 units pursuant to the private placement and, when added to its previous shareholdings, now holds just under a 10 per-cent equity position in Mantle Resources.
Each of the units consists of one common share and one-half share purchase warrant of the Company. Each whole warrant entitles the holder, on exercise, to purchase one additional common share of the Company at a price of $1.75 at any time until the close of business on the day which is two years from the date of issue of the warrant. The securities issued are subject to a four month hold period.
The Company has paid a total of $70,725 as finders’ fees on a portion of the private placement.
The proceeds are planned to be used primarily for further exploration of the Akie sedex zinc property. A portion of the proceeds will also be used for working capital and may also be used to explore the balance of the Company’s portfolio of properties – all located within the highly prospective Gunsteel shale formation in the regionally extensive, world-class Kechika trough sedex zinc basin of northern
Separately, subject to regulatory approval, the Company has granted to directors and officers a total of 650,000 stock options, exercisable for a period of 5 years at a price of $1.40 per share.
About the Akie Property:
The Akie zinc-lead property is situated within the southern-most part (Kechika Trough) of the regionally extensive Paleozoic Selwyn Basin, one of the most prolific sedimentary basins in the world for the occurrence of SEDEX zinc-lead-silver and stratiform barite deposits.
Drilling on the Akie property by Inmet Mining Corporation during the period 1994 to 1996 and Mantle in 2005 and 2006 has identified a significant body of baritic SEDEX mineralization containing average zinc+lead contents in excess of 10%. The deposit is hosted by variably siliceous, fine-grained clastic rocks of the Middle to Late Devonian ‘Gunsteel formation’. Three similar deposits, Cirque, South Cirque and Driftpile, with a combined geologic inventory of in excess of 69 million tonnes averaging in excess of 10% zinc+lead, occur in ‘Gunsteel’ rocks over a distance of approximately 100 km, to the northwest, from the Akie deposit.
The TSX Venture Exchange has neither approved nor disapproved the contents of this press release.
MANTLE RESOURCES INC.
ON BEHALF OF THE BOARD OF DIRECTORS
President and Director