2016-09-01 13:08 ET - News Release

Mr. James Place reports

HIGHBANK PROCEEDING TO RAISE $120,000, LNG & LOI UPDATES

Highbank Resources Ltd. has arranged a private placement and provided updates on its letter of intent and on liquefied natural gas (LNG).

Financing

The company is arranging a non-brokered private placement to raise up to $120,000 through the issuance of two million units at six cents per share, with two million transferable warrants attached at a price of 10 cents per share if exercised within the first year and at a price of 15 cents per share if exercised within the second year. The company will pay a finder's fee of up to 8 per cent in cash or warrants. The company will use the funds to continue maintenance of its Swamp Point North aggregate project and for working capital.

The private placement is subject to TSX Venture Exchange approval.

Letter of intent update

Further to the company's news release of July 8, 2016, and May 17, 2016, Highbank continues to work with the potential purchaser on conditions of the sale of Highbank's 100-per-cent interest in the Swamp Point North aggregate project. Terms of an offer-to-purchase proposal have been discussed and an acceptable proposal is anticipated in the near future.

In the news

Petronas $11-billion LNG plan buoyed by aboriginal vote Aug. 30, 2016, by Rebecca Penty and Natalie Obiko Pearson, Vancouver Sun, Bloomberg News

Lax Kw'alaams First Nation is pushing for two alternative sites for terminal. Petroliam Nasional Bhd.'s proposed $11-billion liquefied natural gas export plant in Canada is getting a boost as the aboriginal community signals openness to the project amid speculation that the location may be changed.

The group is set to meet in the coming days with officials from the Pacific NorthWest LNG (Petronas) project, as well as provincial and federal governments. Local politics are shifting with Mayor John Helin's election in November. In March, Mr. Helin offered conditional support to Petronas in a letter to regulators. The on-line message to Lax Kw'alaams members identified two other prospective locations. Neither of those sites, Ridley Island or Nasoga Gulf, would be critical for salmon. This information may have contributed to the vote in favour of advancing talks.

Jim Place, chief executive officer of president of Highbank, commented, "One of the new proposed sites would bring the potential terminal closer to Highbank's Swamp Point North aggregate project."

AltaGas plans for an LNG camp, Aug. 24, 2016, by Shannon Lough, the Northern View

AltaGas has applied to have a bylaw amended in Port Edward to allow for zoning of temporary lodging, but it's not for its proposed Ridley Island proposed propane export project. AltaGas wants the bylaw amended for two parcels of land the company purchased, which is beside two parcels of land that Metlakatla owns.

"We've gone into a joint project with Metlakatla. The thought was that the land may be used for possibly a camp or a staging area for a possible LNG project," said Sandra Semple, the senior adviser of communications for AltaGas.

AltaGas's proposed Ridley Island propane export terminal project environmental evaluation document

In accordance with Section 67 of the Canadian Environmental Assessment Act, a federal environmental assessment of AltaGas's proposed project, located on Ridley Island near Prince Rupert, is being conducted by federally responsible authorities.

A 30-day public comment period passed on Aug. 19, 2016. The public comment period was an opportunity to provide input and feedback on the proposed terminal project. The public was invited to comment on the environmental evaluation document (EED), a document that contains information about the project and the results of the environmental assessment. Visit AltaGas's website to learn more about the project and to obtain a digital copy of the EED. Copies of the EED are also available at the Port Edward Municipal Office, Prince Rupert City Hall, the public library and the Prince Rupert Port Authority Interpretive Centre.

Federal minister expects Pacific NorthWest LNG decision in September, June 4, 2016, by Adam Reaburn, Energetic City, Everything Fort St. John

Natural Resources Minister Jim Carr, in an article posted by the Canadian Press, said: "The Liberal government's decision will likely to be some time after [Sept. 15]. I'm making an assumption about when Petronas will put its final papers in to CEAA. I expect those paper[s] soon."

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