Sienna Gold Inc. Announces Financing
Suite 117,339 50th Avenue S.E.
Calgary, Alberta Canada T2G 2B3 Phone: (403) 508 2061; Fax: (403) 508 2670; email: [email protected]
SIENNA GOLD INC. ANNOUNCES FINANCING
October 5, 2010
PRESS RELEASE FOR IMMEDIATE RELEASE
Calgary, Canada – Sienna Gold Inc. (“Sienna” or the “Corporation”) (TSXV - SGP) wishes to announce that it has, subject to regulatory approval, undertaken a private placement financing of US $900,000. This financing will be completed on a bought deal basis by Grupo Privado de Inversiones – Valores S.A., Sociedad Agente de Bolsa (GPI Valores SAB) The Corporation will issue 5,294,120 units at US$0.17 per unit, with each unit consisting of one common share and one common share purchase warrant. Each warrant entitles the holder to subscribe for one additional share for CDN$0.26 for a period of one year from closing. Proceeds will be used for further exploration work on the Corporation's Igor project in Peru and for general working capital. Sienna will pay commissions of 7% to GPI and issue 7% broker warrants, each of which will entitle the holder to subscribe for one additional unit at the issue price for a period of one year from closing. .
The Company is pleased that interest in the Company is evident with Peruvian investors and the Peruvian brokerage firm, GPI Valores SAB, which completed this financing .
Sienna Gold Inc. is a gold exploration company with property interests in Peru. Its key prospect is the Igor Mine Project, a formerly producing mine that the Corporation plans to explore further.
These funds will enable the Company to complete the drilling which has been undertaken on the IGOR project. The drilling rig has been contracted and has started to move to the site. Drilling is planned to commence by the 14th of October and should take approximately 120 days to complete.
For any further information contact:
John M. Rucci President Sienna Gold Inc.
(403) 508 2061
The TSX Venture exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.