Proceeds from the Offering will be used to conduct the Phase I exploration program on the Corporation's Needle Lake Property and for general working capital purposes. TerraX can earn up to a 60% interest in the Needle Lake Property in Nunavut from Kaminak Gold Corporation. The Needle Lake Property comprises two contiguous claims with a total area of 2090.21 hectares located in Nunavut Territory, approximately 460 km northeast of Yellowknife, 204 km southeast of the Lupin Mine owned by Wolfden Resources Inc., and 70 km south of the George and Goose Lake deposits owned by Dundee Precious Metals Inc.
The Needle Lake Property has had limited previous exploration, the last major phase of which occurred in 1990 when drilling yielded mineralized intersections in three holes, including 9.46 g/t Au over 3.43 m in one hole and 11.58 g/t Au over 2.02 m in another. These intersections appear to be on the same northerly trending structure, which is untested along strike in both directions or at depth. Furthermore, during field work in 2007, TerraX collected a grab sample which ran 14.8 g/t Au on the surface projection of the structure. TerraX plans to drill five holes on this target starting in August 2008.
The founders of TerraX are Joseph Campbell and Thomas Setterfield, who are joined on the board of directors of TerraX by Paul Reynolds and Stuart Rogers. Joseph Campbell is a professional geologist with 29 years of experience in the exploration and mining business, including roles as Chief Geologist of various gold and base metal mines, and as Project Manager of advanced mine development projects and economic feasibility studies. Much of his career has been with major mining companies, specifically Noranda and Western Mining Corporation. In 2002 he co-founded GeoVector 2346259.1 Management Inc. a successful geoscientific consulting firm based in Ottawa. Highlights of his career include the definition of a nickel laterite deposit in Cuba while he was chief geologist, and being the Project Manager during the discovery of a 5 million ounce resource on a gold project in Nunavut.
Dr. Tom Setterfield is a professional geologist with 28 years of international experience who has lived and worked in Australia, Fiji and Canada and on assignments in several other countries. As a consultant for QGX Ltd, he was that company's first representative to visit the Golden Hills area in western Mongolia, and was integral to the decision to acquire this property, upon which an economic gold-rich VMS deposit has since been discovered. Dr. Setterfield is a co-founder of GeoVector Management Inc. and also served as VP Exploration for Monster Copper Corporation from its incorporation in 2002 to its takeover by Mega Uranium Ltd in 2007.
The Corporation's common shares commenced trading on the TSX Venture Exchange on July 3, 2008 under the trading symbol "TXR".
On behalf of
TERRAX MINERALS INC.
Per: "Joseph Campbell"
President and Director
Mr. Joseph Campbell is the "qualified person" who has reviewed the technical disclosure contained in this news release on behalf of the Corporation.
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ACCURACY OR ADEQUACY OF THIS RELEASE.
Forward Looking Statements: The above contains forward looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Factors that could cause such differences include: changes in world commodity markets, equity markets, costs and supply of materials relevant to the mining industry, change in government and changes to regulations affecting the mining industry. Forward-looking statements in this release include statements regarding future exploration programs, operation plans and geological interpretations. Although we believe the expectations reflected in our forward looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.
July 3, 2008 -- Vancouver, British Columbia. TerraX Minerals Inc. (the "Corporation" or "TerraX") is pleased to announce that on June 27, 2008 it successfully completed its initial public offering (the "Offering") through its agent, Research Capital Corporation (the "Agent"), of 3,600,000 common shares (the "Shares") for gross proceeds of $900,000. The Agent was paid a cash commission equal to 8% of the gross proceeds of the Offering. In addition, the Corporation granted to the Agent and its selling group members, nontransferable warrants to purchase up to 360,000 Shares at a price of $0.25 per Share which may be exercised until December 27, 2009. The Agent was also paid a corporate finance fee for its services in connection with the Offering.