Galantas Gold Corporation
TSX VENTURE : GAL
AIM : GAL

Galantas Gold Corporation

August 23, 2010 10:00 ET

Galantas Reports Results for Second Quarter 2010

TORONTO, ONTARIO--(Marketwire - Aug. 23, 2010) - Galantas Gold Corporation (the Company)(TSX VENTURE:GAL)(AIM:GAL) results for the Three and Six Months ended June 30th 2010 have just been published.

The Net Income for the three months ended June 30, 2010 amounted to $ 71,968 compared to a Net Loss of $ 234,325 for the three months ended June 30, 2009. The Net Income for the six months ended June 30, 2010 amounted to $ 844,386 compared to a Net Loss of $ 524,388 for the three months ended June 30, 2009. The main reason for the improved results in the first half of 2010 is the increased production levels achieved during the first quarter. Production levels in the second quarter of 2010 were below those of the first quarter.

Highlights of the 2010 second quarter's and first six months results, which are expressed in Canadian Dollars, are:

  Second Quarter
Ended June 30
    Six Months
Ended June 30
 
  2010   2009     2010     2009  
Revenue $ 1,503,296   $ 1,648,243     $ 3,484,111     $ 2,791,247  
Cost of Sales $ 952,944   $ 989,285     $ 2,007,167     $ 1,802,669  
Amortization $ 159,335   $ 325,561     $ 449,014     $ 629,439  
Income (loss) before the undernoted $ 391,017   $ 333,397     $ 1,027,930     $ 359,139  
General administrative expenses $ 243,444   $ 330,344     $ 447,824     $ 622,249  
Foreign exchange/(gain) loss $ 75,605   $ 237,378     $ (264,280 )   $ 261,228  
Net Income (Loss) for the period $ 71,968   $ (234,325 )   $ 844,386     $ (524,338 )

The detailed results and Management Discussion and Analysis (MD&A) are available on www.sedar.com and www.galantas.com and the highlights in this release should be read in conjunction with the detailed results and MD&A. The MD&A provides an analysis of comparisons with previous periods, trends affecting the business and risk factors.

This disclosure has been reviewed by Leo O' Shaughnessy (Chief Financial Officer), a qualified person under the meaning of N.I 43-101. The information is based upon local production and financial data prepared under his supervision.

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS: This press release contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws, including revenues and cost estimates, for the Omagh Gold project. Forward-looking statements are based on estimates and assumptions made by Galantas in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that Galantas believes are appropriate in the circumstances. Many factors could cause Galantas' actual results, the performance or achievements to differ materially from those expressed or implied by the forward looking statements or strategy, including: gold price volatility; discrepancies between actual and estimated production, actual and estimated metallurgical recoveries; mining operational risk; regulatory restrictions, including environmental regulatory restrictions and liability; risks of sovereign involvement; speculative nature of gold exploration; dilution; competition; loss of key employees; additional funding requirements; planning and other permitting issues; and defective title to mineral claims or property. These factors and others that could affect Galantas's forward-looking statements are discussed in greater detail in the section entitled "Risk Factors" in Galantas' Management Discussion & Analysis of the financial statements of Galantas and elsewhere in documents filed from time to time with the Canadian provincial securities regulators and other regulatory authorities. These factors should be considered carefully, and persons reviewing this press release should not place undue reliance on forward-looking statements. Galantas has no intention and undertakes no obligation to update or revise any forward-looking statements in this press release, except as required by law.

Galantas Gold Corporation Issued and Outstanding Shares total 235,650,055.

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.

Contact Information

  • Galantas Gold Corporation
    Jack Gunter P.Eng
    Chairman
    +44 (0) 2882 241100
    or
    Galantas Gold Corporation
    Roland Phelps C.Eng
    President & CEO
    +44 (0) 2882 241100
    info@galantas.com
    www.galantas.com
    or
    Religare Capital Markets
    Nick Harriss
    +44 (0) 20 7444 0800
    or
    Beaufort International Associates Ltd
    Kealan Doyle/Nicholas Nicolaides
    +44 (0) 20 7930 8222