FOR IMMEDIATE RELEASE
November 6, 2007 - Vancouver, British Columbia
Molycor Gold Corp. (MOR-TSX.V;
Frankfurt-M1Y; Pink Sheets-MLYFF) is pleased to announce that it has
negotiated a non-brokered private placement (the �Private Placement�) with MineralFields Group of up to 2,608,695 flow-through units
(the �FT Units�) at a price of $0.23 per FT Unit, for aggregate proceeds of up
to $600,000.
�We are very
pleased to have entered into this relationship with MineralFields
Group", said Edward Lee, President �Molycor Gold
Corp. is very appreciative of the relationship that is being developed with the
Mineralfields Group and their continued support of
the Company�s projects. This is an important milestone in the growth of Molycor Gold Corp. and we look forward to working with MineralFields Group as we develop our holdings in BC.�
Each FT Unit
will consist of one flow-through common share (a �Flow-Through Share�) and one
half of one transferable non-flow-through common share purchase warrant (a
�Warrant�). Each whole Warrant will entitle the holder to purchase one
non-flow-through common share (a �Non-Flow-Through Share�) for a period of two
years at an exercise price of $0.30 per Non-Flow-Through Share. All of the
securities issued pursuant to this offering will have a hold period expiring
four months after the closing date.
The Flow-Through
Shares will entitle the holders to a 100% CEE deduction, a 15% Federal tax
credit for grass roots exploration and a 20% tax credit for exploration in British Columbia.
In connection
with the Private Placement, the Company has agreed to pay First Canadian Securities
�, a division of Limited Market Dealer Inc., a cash finder�s fee of 5% of the
aggregate proceeds of the Private Placement and non-flow-through finder�s fee
warrants (the �Finder�s Fee Warrants�) equal to 7% of the number of FT Units
subscribed for. Each Finder�s Fee Warrant will entitle the holder to purchase
one finder�s fee unit (a �Finder�s Fee Unit�) consisting of one
Non-Flow-Through Share and one half of one Warrant (a �Finder�s Fee Unit
Warrant�) for a price of $0.23 per Finder�s Fee Unit. Each whole Finder�s Fee
Unit Warrant will entitle the holder to purchase one Non-Flow-Through Share for
a period of two years at an exercise price of $0.30 per Non-Flow-Through Share.
The Finder�s Fee is payable in accordance with the policies of the TSX Venture
Exchange (the �Exchange�).
There will be an
additional due diligence fee of 2% payable to the Finder.
The Private Placement is subject to Exchange
approval.
About MineralFields, Pathway and First Canadian Securities
�"
MineralFields Group (a
division of Pathway Asset Management) is a Toronto-based mining fund with
significant assets under administration that offers its tax-advantaged super flow-through
limited partnerships to investors throughout Canada during most of the calendar
year, as well as hard-dollar resource limited partnerships to investors
throughout the world. Pathway Asset Management also specializes in the
manufacturing and distribution of structured products and mutual funds.
Information about MineralFields Group is available at
www.mineralfields.com. First Canadian
Securities�, a division of Limited Market Dealer Inc., is active in leading
resource financings (both flow-through and hard dollar) on competitive, effective
and service-friendly terms, with investors both within, and outside of MineralFields Group.
About Molycor Gold Corp.
Molycor is a diversified precious and base metal
exploration and development company focusing on molybdenum exploration in British Columbia and gold exploration in Nevada.
On Behalf of Management
Edward Lee
President and Director
For all Molycor Gold Corp. investor relations needs, investors are
asked to visit the Molycor Gold Corp. IR Hub at http://www.agoracom.com/ir/molycor where
they can post questions and receive answers within the same day, or simply
review questions and answers posted by other investors. Alternatively,
investors are able to e-mail all questions and correspondence to mor@agoracom.com where they can
also request addition to the investor e-mail list to receive all future press
releases and updates in real time.
Watch
Live Interview with CEO Larry Reaugh on Molycor�s
website.
Information Contact
Edward Lee
President & Director
Head Office: 2A 15782 Marine Drive, White Rock, B.C. V4B
1E6
Telephone: 604-531-9639 Facsimile:
604-531-9634
Email: info@molycor.com
www.molycor.com
The TSX-Venture Exchange has not
reviewed and does not accept responsibility for the adequacy or accuracy of
this release.
