Gold Reach Resources Ltd. Announces Non-Brokered Private Placement
January 24, 2011
Vancouver, B.C. – Gold Reach Resources Ltd. (GRV: TSX-V), (the “Company”) announces it has arranged a non-brokered private placement unit offering of 240,000 Units to raise gross proceeds of $100,800. Each Unit is comprised of one common share of the Company at a subscription price of $0.42 per common share and one full share purchase warrant (“Warrant’) entitling the holder thereof to purchase one additional common share of the Company at an exercise price of $0.60 for a two year period from the closing date of the Unit offering. Proceeds will be used for general working capital.
Each Warrant will be subject to accelerated expiry provisions such that if at any time after the date of Closing of the private placement, the Company’s common shares trade on the TSX Venture Exchange at or above a weighted average trading price of $1.00 per share for 10 consecutive trading days, the Company may give notice to the holders that each Warrant will expire 30 days from the date of providing such notice.
There is no Finder’s Fee in this transaction and two of the placees are directors of the Company.
The shares issued will be subject to a four-month hold period from the date of closing and is subject to acceptance by the TSX Venture Exchange.
About Gold Reach:
Gold Reach Resources Ltd. is a Canadian exploration company actively involved in the exploration of its newly acquired Auro Claims adjacent to Richfield Ventures’ gold discovery in central BC and the development of the Seel and Ox Lake projects, a 19,105 hectare copper-gold-molybdenum-silver project located 120 kilometres south of Houston, BC and eight kilometres east of the producing coppermolybdenum Huckleberry Mine.
ON BEHALF OF THE BOARD OF DIRECTORS
Conrad Swanson, President
For further information, please contact:
Gold Reach Resources Telephone: 604-718-5454 Toll Free: 888-500-4587 Web: http://www.goldreachresources.com
Safe Harbour Statement: The Company relies upon litigation protection for “forward-looking statements.”
Neither the 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.