Galahad Metals Inc.
TSX VENTURE : GAX

Galahad Metals Inc.

November 23, 2009 15:10 ET

Galahad Metals Completes Private Placement

OTTAWA, ONTARIO--(Marketwire - Nov. 23, 2009) - Galahad Metals Inc (TSX VENTURE:GAX) announced that the Company has completed the private placement of 2,600,000 units of the Company ("Units") at a price of $0.10 per Unit for gross proceeds of $260,000. Of the 2,600,000 units, 1,800,000 units are comprised of one common share and one common share purchase warrant, and 800,000 units are comprised of one flow-through common share and one non-flow through common share purchase warrant. Each whole warrant is exercisable at a price of $0.15 per common share from the date of issue up to and including September 30, 2010 and at a price of $0.20 per common share from October 1, 2010 up to and including September 30, 2011. The warrants have a Forced Exercise Provision whereby if the closing price for the Company's common shares is $0.30 or greater for a period of 10 consecutive trading days between the date of issue and September 30, 2010 or $0.40 or greater for a period of 10 consecutive trading days between October 1, 2010 and September 30, 2011, the warrant holders will have 30 days to exercise their Warrants; otherwise the Warrants will expire on the 31st day.

The gross proceeds from the private placement will provide the Company with additional working capital and to process the data on the Regcourt Gold Deposit in order to create a 3-D Gemcom model of the ore body and past drill holes. The model will then be used to generate diamond drill targets for Q1 2010 drill programmes.

All securities issued in connection with this financing are subject to a four-month hold period expiring March 21, 2010.

"The statements in this Press Release may contain forward looking statements that involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections. The TSX Venture Exchange has not approved or disapproved of the information contained in this Press Release."

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