| October 30, 2008 |
| Rubicon Announces $6 Million Flow-Through Share and $6 Million Common Share Financing |
TORONTO, ONTARIO--(Marketwire - Oct. 30, 2008) -
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
Rubicon Minerals Corporation (TSX:RMX)(AMEX:RBY) (the "Company") is pleased to announce that it has entered into an agreement with GMP Securities L.P. and a syndicate of agents in connection with a "best efforts" private placement of up to 4,500,000 flow-through common shares ("Flow-Through Shares") at an issue price of $1.35 per Flow-Through Share for proceeds of up to $6,075,000 and up to 5,500,000 common shares ("Common Shares") at $1.10 per Common Share for proceeds of up to $6,050,000. In addition, the Agents shall have the option, exercisable until the Closing Date to sell up to an additional 1,800,000 Common Shares at a price of $1.10 per Common Share for additional gross proceeds of up to $1,980,000.
Contemporaneously with the closing of the offering, the Company intends to complete a non-brokered private placement of up to an additional 370,370 Flow-Through Shares at a price of $1.35 per Flow Through Share for aggregate gross proceeds of up to approximately $500,000 to certain insiders and employees of the Company and to certain other qualified investors.
The Company expects to close the offering on or about November 18th, 2008 subject to regulatory approval.
The proceeds from the issuance of the Flow-Through Shares shall be used at Company's Phoenix Gold Project for exploration expenditures which will qualify as Canadian exploration expenses (as defined in the Income Tax Act) and will be renounced to the investors. The proceeds received by the Company from the sale of the Common Shares shall be used for general and administrative and working capital purposes.
RUBICON MINERALS CORPORATION
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