Peak Gold negotiates C$225 million; Sage Gold to raise C$4 million; Maple Leaf to issue C$3 million

By LLuvia Mares

New York, Oct. 31 - Peak Gold Ltd. announced an unusually large private placement, a $225 million sale of special warrants.

Co-leads for the sale are GMP Securities LP, Canaccord Capital Corp. and CIBC World Markets Inc.

"This financing is the funds required for future acquisitions or capital expenditures," said Mélanie Hennessey, company vice president of investor relations.

"At this time this is what is need and is at the best interest of the company and its share holders. We can't predict the future of how we would approach any future transactions so we will cross that bridge when we get to it."

The company will sell 300 million of the warrants at C$0.75 each. Each warrant is exchangeable at no additional cost for one unit, which will consist of one common share and one half share warrant.

Each whole warrant is exercisable for one common share at C$1.50 until April 3, 2012.

The company's stock (TSX Venture: PIK) closed at C$0.64 on Wednesday, down C$0.8 from Tuesday's close at C$0.72.

Proceeds of the deal, expected to close Nov.21, will be used for future acquisitions and general corporate purposes.

"It [the company] has two operating asset producing forecasted production of 220,000 ounces for 2007 and it has no hedging, no debt and it's cash flow positive," said Hennessey.

Based in Vancouver, B.C., Peak Gold, formerly GPJ Ventures Ltd., is an intermediate gold producer with two operating assets: Peak Mines in New South Wales, Australia, and Amapari mine in Amapa State, Brazil.

Sage Gold to raise C$4 million

Another company digging its way to success is Sage Gold Inc. after announcing it will conduct a C$4 million non-brokered private placement of units. The deal has a C$1 million greenshoe.

"We went for what the demand was [with the greenshoe] and in fact we are going to be completing the issue with it, so it appears to be a highly sought after issue," said Nigel Lees, company president and chief executive officer. "We are always looking at acquisitions - it is part of our strategic plan and for that if we need capital we go to the market to raise money."

The company will sell up to 8 million flow-through units at C$0.50 each. The greenshoe will be for an additional 2 million units at that price.

Each unit consists of one flow-through common share and one half share warrant. Each whole warrant is exercisable for one non flow-through share at C$0.75 for two years.

The warrants may expire sooner if Sage's shares trade at C$0.95 or higher for 21 consecutive trading days, in which case they will expire within 30 days after the company notifies holders of such an event.

The securities will have a four-month hold period.

The company will pay a 6% cash finder's fee plus warrants to purchase a number of common shares equal to 8% of the number of units sold. The two-year warrants are exercisable at C$0.75.

Sage's stock (TSX Venture: SGX) closed at C$0.51, down C$0.7 from Tuesday's C$0.58 close.

Proceeds of the deal, expected to close Nov. 9, will be used for exploration.

Sage Gold is a Toronto-based mineral exploration company focused on exploring, developing and acquiring economic properties in the Americas.

Maple Leaf to issue C$3 million

Maple Leaf Reforestation Inc. announced it will raise C$3 million in a non-brokered private placement of units.

"Actually our goal is to get some acquisitions, we are looking for some acquisitions right now, that's what the proceeds will be for," said a company insider. "Right now we have two projects that have a lot of potential."

The company will sell 2 million units at C$1.50 each. Each unit consists of one common share and one half share warrant. Each whole warrant is exercisable at C$2.00 for two years.

Maple Leaf's stock (TSX Venture: MPE) closed at C$1.40, up C$0.1 from C$1.39 at close on Tuesday.

Proceeds will be used for work on the company's Xinjiang project, announced on Oct. 16, to expand Maple Leaf's sales and marketing campaign and for general working capital.

Maple Leaf is a Calgary, Alta.-based company focused on growing "value-added tree seedlings" in China to help correct environmental issues.

Canadian Superior to raise C$21 million

In the oil and gas sector, Canadian Superior Energy Inc. entered into an agreement with Acumen Capital Finance Partners Ltd., Jennings Capital Inc. and Maison Placements Canada Inc. for a C$21 million private placement of stock.

"We believe the Alberta basin is going through a transition and we plan to take advantage of this situation in 2008. Service costs and drilling activity in Western Canada are declining, and we have excellent exploration potential available to us," said Craig McKenzie, company chief executive officer, in a press release.

"We have been approached to issue flow-through shares during the current tax-driven period. Accordingly, completing this transaction enables us to ramp up our Western Canadian operations and free up our cash reserve for our first priority of growing our international operations."

The company will sell 6 million flow-through common shares at C$3.50 per share.

Canadian's stock (Toronto: SNG) closed at C$3.22, down C$0.13 from Tuesday's close of C$3.35.

Based in Calgary, Alta., Canadian Superior Energy is a crude oil and natural gas exploration and production company with an emphasis on exploring for and producing crude oil and natural gas in Western Canada, Nova Scotia and Trinidad and Tobago.

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