$250,000 Shares for Debt Financing Proposed
Sudbury, Ontario – February 1, 2013 – Houston Lake Mining Inc. (TSX.V: HLM), is a mining exploration company which is actively exploring for the rare metals lithium, cesium, tantalum, and rubidium by currently focusing on its 100% owned and optioned Pakeagama Rare Metals Project in northwestern Ontario, Canada. HLM is pleased to report that it has received a positive response from two creditors concerning a Shares for Debt Financing. HLM proposes to issue up to 5,000,000 common shares at a price of $0.05. The financing is subject to regulatory approval and would have a hold period of four months.
$200,000 of debt is owed to a company owned by one “non-arm’s length” individual. The non-arm’s length portion of the proposed financing is therefore 4,000,000 common shares at a price of $0.05 per share. The $50,000 debt is owed to one “non-arm’s length” individual. This non arm’s length portion of the financing is therefore 1,000,000 common shares at a price of $0.05 per share.
Management believes that the proposed Shares for Debt financing will strengthen the balance sheet and increase the attractiveness of the Company for future financings.
The Company also announces that under its stock option plan it has granted 2,000,000 stock options to officers, directors, employees and consultants of the Company. The options are set for a period of five years, expiring on February 1, 2018. The options are priced at $0.10 and are subject to regulatory approval.