News

Update to Private Placement Announced December 8, 2004

December 23, 2004

Acero-Martin Exploration Inc. has revised the unit price for the one-million-unit non-brokered private placement reported in Stockwatch on Dec. 8, 2004. The unit price in this private placement has been amended to reflect a unit price from $1.50 to $1.40 per unit, and the warrant exercise price has been amended to reflect a warrant exercise price from $1.80 to $1.60. Each unit will comprise one common share and one-half share purchase warrant, each whole warrant entitling the holder to acquire one additional non-flow-through common share at the renegotiated exercise price of $1.60 over a nine-month term. The units will have a four-month hold period in accordance with regulatory policies. Fifty per cent of the unit cost will be eligible for flow-through income tax treatment. The proceeds will be used for exploration costs related to the Red Mountain and Peruvian properties as well as for general working capital. The private placement is subject to regulatory approval.

The closing of this private placement is scheduled for Dec. 30, 2004.