Consolidated wraps stock sale; Hallador pockets nearly $25 million; NewCardio sells preferreds

By Stephanie N. Rotondo

Portland, Ore., Sept. 18 - As the week ended, several companies settled private placement deals Friday.

Consolidated Thompson Iron Mines Ltd., for one, wrapped a C$144.21 million placement of stock. The deal included a C$18.81 million greenshoe.

Hallador Petroleum Co. also completed a financing, raising nearly $25 million. According to a company spokesperson, most of the funds came from existing investors. Proceeds were used to complete the company's purchase of Sunrise Coal LLC.

Also, NewCardio Inc. wrapped a $2.92 million sale of convertible preferred shares. Investors also received warrants.

Meanwhile, San Leon Energy plc announced it would raise £6.28 million via a private placement of stock. Rusina Mining NL also announced an equity deal. Rusina is aiming to raise £3.03 million, half of which has already been subscribed for.

Highland Resources Inc. intends to issue new stock and units in its quest to raise C$1.5 million. Proceeds will be used to fund the company's 2009 to 2010 exploration program.

Consolidated settles stock sale

Consolidated Thompson Iron Mines settled a C$144.21 private placement of equity, according to a press release.

The deal originally priced at C$125.4 million on Aug. 31 and included a C$18.81 million greenshoe.

The company issued approximately 32.76 million common shares at C$4.40 per share.

Minerals Corp. Ltd. of Wuhan Iron & Steel Group participated in the financing in order to maintain its pro-rata equity ownership interest in Consolidated Thompson, the company said in the press release.

Proceeds will be used for acquisitions, as well as expansion at its Bloom Lake property.

Consolidated Thompson's shares (Toronto: CLM) fell 8 cents, or 1.62%, to C$4.87. Market capitalization is C$964 million.

Consolidated Thompson Iron Mines is a Toronto-based mining company.

Hallador pockets nearly $25 million

Among other completed deals, Hallador Petroleum took in $24.9 million via a private placement of stock on Sept. 15, the company said in a regulatory filing.

The company sold 4.15 million shares at $6.00 each.

"Most of the money came through existing shareholders," said W. Anderson Bishop, chief financial officer, in an interview with Prospect News.

"It worked out the way we wanted it to," he added.

Proceeds from the deal went toward completing the company's purchase of Sunrise Coal LLC.

"We got into the Sunrise deal back in 2006," Bishop explained. Through a joint venture and other transactions, the company amassed a 60% interest in the Indiana-based coal company. In 2008, Hallador purchased another 20%.

"The ultimate goal was to get 100%," Bishop said.

In addition, Sunrise's owners purchased shares of Hallador stock, which means they are "tied to the success of the mine through ownership of Hallador stock."

"It simplifies financial reporting," Bishop said. "It's a win-win for all."

Hallador's stock (OTCBB: HPCO) ended unchanged at $6.75. Market capitalization is $152 million.

Hallador Petroleum is a Denver-based oil and natural gas exploration company,

NewCardio settles preferred placement

NewCardio also wrapped a private placement, selling series C convertible preferred stock for proceeds of $2.92 million.

The Santa Clara, Calif.-based cardiac diagnostic company sold 2,920 of the preferreds at $1,000 each. The shares are convertible into 2.92 million common shares.

Also, investors received warrants equal to 2.92 million additional shares. The warrants are exercisable at $1.20 each.

Company insiders subscribed for more than half of the offering.

"The successful completion of this transaction, despite the difficult economic conditions and the challenges small companies face in securing additional growth capital, demonstrates the confidence management, our board of directors and these accredited investors have in NewCardio's platform technology and the opportunities in front of us," said Branislav Vajdic, NewCardio's chief executive officer, in a press release.

NewCardio's equity (OTCBB: NWCI) remained steady at $1.10. Market capitalization is $26.3 million.

San Leon to raise £6.28 million

In news from across the Pond, San Leon Energy announced a £6.28 million private placement of ordinary shares.

The company intends to sell approximately 41.87 million of the shares at 15p each.

PGS Ventures AS, a subsidiary of Petroleum Geo-Services ASA, subscribed for approximately 13.33 million of the shares, according to a press release. Also, San Leon and PGS have entered into a seismic services agreement.

"We are extremely encouraged by the support we have received from existing and new shareholders," remarked Oisín Fanning, chairman of San Leon, in the release. "The funds raised through this placing and the technical services agreement will provide San Leon with the sufficient financial and technical backing to continue to develop the company's exciting portfolio of exploration and development projects."

San Leon's stock (London: SLE) closed at 24.5p. Market capitalization is £73.1 million

San Leon Energy is a Dublin, Ireland-based oil and gas exploration company.

Rusina plans equity deal

Rusina Mining also announced a private placement of equity, for proceeds of £3.03 million.

The company will issue approximately 57.76 million ordinary shares at 5.25p per share. Rusina has already sold approximately 36.76 million of the shares, pocketing £1.93 million. The remaining portion is subject to securing shareholder approval.

A shareholder meeting to vote on the financing will be held Oct. 29.

Rusina's shares (Australia: RML) ended at A$0.115.

Rusina Mining is a West Perth, Western Australia-based mineral exploration company.

Highland to sell shares, units

Highland Resources negotiated a C$1.5 million private placement of flow-through shares and units, the company said in a press release.

The company will sell 4 million of the shares at C$0.15 for total proceeds of C$600,000. Of the units, 6 million will be sold at C$0.15 for proceeds of C$900,000. Each unit will consist of one common share and one half-share warrant. Whole warrants are exercisable for two years at C$0.20 in the first year and at C$0.30 in the second.

Proceeds will be used, in part, for Highland's 2009 to 2010 exploration program at its Rickaby property.

Calls made to the company seeking comment went unreturned Friday.

Highland's stock (TSX venture: HI.V) gained 2 cents, or 12.90%, to C$0.175. Market capitalization is C$684 million.

Highland Resources is a Vancouver, B.C.-based capital pool company.

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