Garson Gold Increases Non-Brokered Flow-Through Financing and Closes Second Tranche
VANCOUVER, BRITISH COLUMBIA–(Marketwire – July 15, 2008) – Garson Gold Corp. (TSX VENTURE:GG) (“Garson Gold” or “the Company”) wishes to announce that due to strong interest, the Company has increased its non-brokered flow-through private placement (see news release dated June 20, 2008) from $1.8 million up to $2.5 million.
The Company also wishes to announce the closing of a second tranche of the non-brokered private placement (see news release June 20 and July 2, 2008) of 7,953,365 flow-through common shares priced at $0.15 for gross proceeds of $1,193,004. All securities issued will be subject to a four-month hold period expiring November 12, 2008. Finders’ fees of $81,227.50 in cash, and 459,700 common share purchase warrants exercisable at $0.15 for two years from the closing date are to be paid in respect of this closing.
Proceeds from this financing will be used to continue an exploration program that includes follow-up drilling on the prospective No. 3, Boundary and Kim Zones, soil geochemical surveys, trenching and outcrop stripping, geological mapping, and prospecting.
ABOUT THE NEW BRITANNIA MINE
Garson Gold holds a 100% interest in The New Britannia Mine (NBM) Project in Manitoba and the Copper Prince and McMillan Gold Mine Projects in Ontario. The Company’s flagship project is the NBM, which covers approximately 3,900 hectares and hosts the historic New Britannia Gold Mine. NBM operated from 1949 to 1958 and again from 1995 to 2004 and produced approximately 1.43 million ounces of gold. The historical resource estimate at the NBM property, audited by Micon International Ltd. in accordance with CIM classifications pursuant to National Instrument 43-101, is available for viewing on Sedar (www.sedar.com) and www.garsongold.ca. A modern mill capable of processing 2,150 tonnes/day and ancillary surface and underground infrastructure facilities have been kept on care and maintenance since the NBM project was purchased by the Company in December 2006.
In addition to the current exploration activities and resource estimation update, a scoping study is underway to assess viable start-up and production scenarios with the intent to reestablishing gold production at the NBM Property.
On Behalf of the Board,
David G. Tafel, President and Director
This news release may contain forward looking statements concerning future operations of Garson Gold Corp. (the “Company”). All forward looking statements concerning the Company’s future plans and operations, including management’s assessment of the Company’s project expectations or beliefs may be subject to certain assumptions, risks and uncertainties beyond the Company’s control. Investors are cautioned that any such statements are not guarantees of future performance and that actual performance and exploration and financial results may differ materially from any estimates or projections.
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