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Exercise of Warrants and Repayment of Loan

GALANTAS GOLD CORPORATION

TSXV and AIM: Stock Symbol – ’GAL’

 GALANTAS ANNOUNCES EXERCISE OF WARRANTS AND REPAYMENT OF LOAN

Date : 11th June 2012.  Galantas Gold Corporation (the ‘Company’), the AIM and TSXV quoted gold producer and explorer with a 100% interest in Ireland’s only operating gold mine, is pleased to announce that Kenglo One Limited (‘Kenglo’) has exercised its right to acquire 20,560,340 common shares of the Company under the terms of warrants held by it.  The warrants were exercisable at Cdn. $0.10 per share.  The aggregate consideration from the exercise of the warrants of Cdn. $2,056,034 was used by the Company to extinguish, in their entirety, the principal and interest obligations outstanding under the loan agreement dated March 9, 2011 between  Kenglo and the Company.

As a result of this exercise, Kenglo currently holds  66,110,340 common shares representing 25.8% of the outstanding common shares of the Company.  Roland Phelps, President and Chief Executive Officer of the Company stated: “We are extremely pleased that Kenglo has decided to make this additional investment, which we view as a solid expression of support for Galantas and its activities.”

Application has been made for the 20,560,340 common shares to trading on AIM and admission is expected on 15 June 2012.

Galantas Gold Corporation Issued and Outstanding Shares total 256,210,395.

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.

 

Enquiries

Galantas Gold Corporation
Jack Gunter P.Eng – Chairman
Roland Phelps C.Eng – President & CEO
Email: info@galantas.com
Website: www.galantas.com
Telephone: +44 (0) 2882 241100



Investor Relations Consultant
Courtenay Heading (Maclir Consulting Ltd)
Email : c.heading@Galantas.com
Telephone : (UK) +44 (0) 7624 424 455

Charles Stanley Securities (Nominated Adviser)

Mark Taylor / Darren Vickers

Telephone +44 (0)20 7149 6000

 

Share Price

TSX-V (CDN $): 0.09

AIM (£ p): 4.875

Gold Price (oz)

USD : 1,272.50

GBP : 960.99

The figures presented here are for informational purposes of current trends only and should not be considered an exact count

This page and other parts of the website contain statements relating to the intentions of the management to develop mine production and jewellery production. Such statements are forward looking and readers are cautioned that these statements are subject to risk and uncertainties as further detailed in quarterly Management Discussion and Analysis published on www.sedar.com

Approved for website uploading : R.Phelps