Goldstake Explorations Inc.

Goldstake Explorations Inc.

December 14, 2009 13:02 ET

Goldstake Proposes Up To $1,000,000 Financing

TORONTO, ONTARIO--(Marketwire - Dec. 14, 2009) - Goldstake Explorations Inc. (TSX:GXP)(FRANKFURT:GOO)  ("Goldstake" or the "Company") announces that it proposes, subject to the approval of the Toronto Stock Exchange (the "TSX"), to complete a non-brokered private placement of up to 25,000,000 units of Goldstake (the "Units") at a price of Cdn$0.04 per Unit for proceeds to the Company of up to Cdn$1,000,000. Each Unit is to be comprised of one common share of the Company and one half of one warrant of the Company (each such whole warrant, a "Warrant"), with each Warrant entitling the holder to purchase one common share of the Company at a price of Cdn$0.05 for a period of two years (the "Proposed Financing"). It is proposed that the Proposed Financing will be entirely subscribed for by an associate of a director of the Company and, as a result, the Company has today submitted an application to the TSX to rely upon the TSX's financial hardship exemption from the requirement to obtain shareholder approval in respect of the Proposed Financing.

Proceeds from the Proposed Financing will be used to sustain the Company's current drill program at its Clay Project and to sustain the Company for at least another six months.

This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, the Company's objectives, goals or future plans and the Company's expectations with respect to the completion of the Proposed Financing, the use of proceeds raised thereunder and the impact of the Proposed Financing on the Company's financial condition. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, obtaining the approval of the TSX to rely on the financial hardship exemption from the requirement to obtain shareholder approval with respect to the Proposed Financing. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

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