Vancouver, BC, December 14, 2006,-- El
Niņo Ventures Inc. ("El Niņo") (TSX.V: ELN; OTCBB: ELNOF; Frankfurt:
E7Q) is pleased to announce that it has engaged Canaccord Capital
Corporation to act as agent for a brokered private placement of up
to 1,818,181 flow-through units (the "Flow-Through Units") at a
purchase price of $0.55 per flow-through Unit, for gross proceeds of CDN
$1,000,000 and up to 3,000,000 Units (the "Units") at a purchase price
of $0.40 per Unit, for gross proceeds of CDN $1,200,000.
Each Flow-Through Unit will consist of
one flow-through common share and one common share purchase warrant
("Warrant"). Each Warrant entitles the holder to purchase an
additional non flow-through common share at a price of $0.65 for a period
of 12 months from closing.
Each Unit will consist of one common
share and one-half of one common share purchase warrant ("Warrant").
Each whole Warrant entitles the holder to purchase an additional common
share at a price of $0.55 for a period of 12 months from closing.
The flow-through funds raised from the
issuance of the flow-through Units will be used for exploration
expenditures, which will constitute Canadian exploration expenses (as
defined in the Income Tax Act) and will be renounced for the 2006 taxation
year. The use of the proceeds raised from the Units will be for general
working capital and exploration projects outside of Canada.
Upon closing, the Company shall pay
Canaccord Capital Corporation 8% of the Gross Proceeds raised, payable in
cash and the Agent's Warrants equal to 8% of the securities sold under
the Offering. Each Agent's Warrant shall be exercisable for a period of
12 months from closing at a price of $0.55 per share.
The foregoing is subject to regulatory
About El Niņo
El Niņo is an exploration stage company
in the midst of a 23,500 meter drill program on the Bathurst Zinc/Base
Metals Mining Camp. This is the first part of a 50,000 meter drill program
that began in Oct 2006 and will continue on until March 2008. This
financing will fortify that El Nino's commitment of $ 5 million will
be met, as stipulated in the Option/Joint Venture Agreement signed with
Xstrata Zinc Canada in May 2006. Additional proceeds of this financing
will be applied to the further acquisition of projects outside of Canada,
and solidify El Nino position as an aggressive international mineral