3 June 2010: Galantas Gold Corporation (the “Company”)(TSX Venture –GAL) (AIM – GAL), which has a 100% interest in Ireland’s only gold mine, is pleased to announce a proposed private placement of up to 50,000,000 units. Each unit is priced at CDN$0.05 and is comprised of one common share and one warrant. Each warrant entitles the holder to purchase one common share within 24 months from closing at a price of CDN$0.10. A cash fee of 1% will be payable on part of the placing to an independent agent.
The securities issued under the private placement will be subject to a hold period in Canada from the date of issuance in accordance with applicable securities laws and policies of TSX Venture Exchange. The private placement is subject to regulatory and other necessary approvals, including that of the TSX Venture Exchange.
The Company intends to use the funds from the placing for an expanded drilling program, mobile and fixed plant improvements and working capital. The expanded drilling program will concentrate initially on targets close to the operating mine site that have already been reported upon by consultants ACA Howe (Press Release 12th June 2008) and will commence summer 2010.