Nemaska Exploration Closes $5,226,760 With Its Initial Public Offering

31 December 2009
QUEBEC CITY, QUEBEC--(Marketwire - Dec. 31, 2009) - NEMASKA EXPLORATION INC. ("Nemaska" or the "Corporation") announces that it has closed today its initial public offering launched on December 18, 2009 (the "Offering") for an amount of $5,226,760. CTI Capital Securities Inc. acted as agent (the "Agent") in connection with the Offering, which was conducted in Alberta, British Columbia, Ontario, and Quebec. The common shares of Nemaska (the "Common Shares") are expected to begin trading on the TSX Venture Exchange under the symbol NMX during the week of January 11, 2010. Following the Closing, the Corporation has a total exploration budget of $3,472,160 to start the year.

"Due to the tight timeline we had to close the Offering, we are particularly proud of the result and foresee the next year with a feverish optimism, mainly because of the recent results on the Whabouchi property" commented Mr. Guy Bourassa, President and Chief Executive Officer. "I would also like to mention the important and essential role played by the current shareholders of the Corporation, over 130, in the success of the Offering. Due to this team work and effort, the Corporation is moving to a new level of development".

At the closing of the Offering (the "Closing"), Nemaska issued 2,523 "A" Units, 2,500 "B" Units, and 649 "C" Units. Each "A" Unit consisted of 1,250 flow-through Common Shares ("Flow-Through Shares") at a price of $0.64 per share, 400 Common Shares at a price of $0.50 per share, and 825 common share purchase warrants ("Warrants"). Each "B" Unit consisted of 1,000 Common Shares at a price of $0.50 per share and 1,000 Warrants. Each "C" Unit, available only for subscriptions equal to or greater than $150,000, consisted of 3,500 Flow-Through Shares and 1,750 Warrants. Subject to an acceleration clause, each Warrant entitles its holder to purchase one Common Share at any time for a period of 24 months after Closing at a price of $0.80 per share. Each Flow-Through Share entitles its holder to receive certain income tax deductions, as outlined in the Company's prospectus dated December 18, 2009.

In consideration of its services, the Agent received a corporate finance fee of $50,000 plus taxes. The Agent also shared a cash commission of $418,140.80 and 893,445 broker warrants (the "Broker Warrants") with certain members of the selling group. The Broker Warrants allow their holders to purchase, at any time for a period of 24 months after Closing, 350,920 Common Shares at a price of $0.50 per share and 542,525 Common Shares at a price of $0.64 per share.

Concurrently with the Closing, Nemaska has exercised its purchase option of 100% interest in the Lac Levac and Lac des Montagnes properties of Golden Goose Resources Inc. Final closing of this acquisition is scheduled for January 7, 2010. 

About Nemaska Exploration

Nemaska Exploration Inc., a reporting issuer in Quebec since November 2008, is a mineral exploration company involved in the James Bay region in Quebec. Its main assets, 100 % owned, are the Lac Arques (about 30,000 hectares) Whabouchi (about 1,600 hectares) the Lac Levac and Lac des Montagnes properties (about 32,000 hectares). These properties are contiguous and cover about 70 km of the Lac des Montagnes green belt polymetallic formation and are easily accessible year round by either the Route du Nord from Chibougamau (280 km) or the Route de la Baie James from Matagami (380 km). They are located near the Cree community of Nemaska and the Némiscau airport.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.