COMPANY AMENDS TERMS OF $300,000 PRIVATE PLACEMENT AND GRANTS OPTIONS
Vancouver, BC Further to the Company’s news release of September 22, 2005, Pinnacle Mines Ltd. reports that it has agreed to re-price the financing as a result of market conditions. The Company will now place 353,000 units at a price of $0.85 per unit for gross proceeds of $300,050.00, each unit consisting of one share and one share purchase warrant. Two warrants will entitle the holder to purchase an additional share in the Company at the price of $1.00 in year one and $1.20 in year two. Proceeds of the financing will be added to the working capital of the Company. Pinnacle has agreed to pay a finder’s fee equal to 5% of the proceeds of the financing.
In addition, the Company reports the granting of incentive stock options in respect of a total of 300,000 common shares to directors, officers and employees of the company at a price of $0.95 per common share and exercisable for a five year period. The options were granted pursuant to a stock option plan approved by shareholders at the Company’s Annual General Meeting on June 20, 2005.
Pinnacle Mines Ltd. is a Canadian based mineral exploration and development company with assets in Canada and China. In Canada, Pinnacle holds several properties in Northwestern British Columbia, in proximity to numerous past and producing mines including the Silbak-Premier Mine and Barrick Gold’s famed Eskay Creek Mine. In China, Pinnacle’s current focus is in Southeast Yunnan, an area being increasingly considered for its potential to host significant mineral resources including “Carlin” style gold deposits.
For further information contact Andrew Bowering, President, at 604-688-7377 or visit Pinnacle’s website at http://www.pinnaclemines.com.
On behalf of the Board of Directors
“Andrew W. Bowering”
President and CEO
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for the adequacy or the accuracy of the content of this news release.