SOURCE: Supatcha Resources Inc.

April 07, 2010 16:15 ET

Supatcha Resources Secures $10,000,000 Financing to Fund Barlevskoye and Vynohradiv Gold Mines

DENVER, CO--(Marketwire - April 7, 2010) - Supatcha Resources Inc. (OTCBB: SAEI) ("Supatcha" or the "Company") announced today that it has executed an agreement with Melco Investments, Ltd. ("MIL"), providing for a $10,000,000 financing. This financing is in the form of a convertible debenture with terms stipulating an interest rate of 8% and a loan repayment term of 24 months from the date of execution of the agreement, by way of cash or through the conversion of shares of Supatcha Resources stock. The repayment terms of the financing are amenable to the Company's property development schedule and to future financings plans to retire the debt. 

The securities potentially offered to the investor, under the terms of the financing, will not be registered under the Securities Act of 1933 as amended (the "Act"), and may not be offered or sold in the United States absent of registration, or an applicable exemption from registration, under the Act. The monies from this financing will be utilized to cover operational and development costs at Supatcha's Barlevskoye and Vynohradiv Gold Mines. The funds provided will also be a contingency for costs that may arise in the first few months of the Company's aggressive development and exploration program. Additionally, the availability of these funds will provide the Company with the necessary capital cost commitments and general working capital in the near term.

"We are very pleased to have concluded this financing with Melco Investments and are appreciative of the 24 month timeline of the funds. While we may not require the use of the entire $10,000,000 that this financing provides," stated Mr. Nikolae Yagodka, CFO of Supatcha, "its availability will help to ensure that the mine acquisition, development and exploration programs at the Barlevskoye and Vynohradiv mines will proceed in a smooth and timely fashion."

"These funds will allow us to immediately commence with implementation of our operating strategy. The financial commitment afforded by this financing is an indication of confidence in the future success of our projects and will be significant to the growth of the Company," stated Mr. Nikolae Yagodka, Chief Financial Officer. "The exercise price of the convertible notes at between $2.10 and $2.50 per share also demonstrates the lender's confidence in the Ukrainian Gold team to provide results through the Company's programs," added Mr. Yagodka.

For further information on the Company's gold and base metal projects, visit our website, www.supatcharesources.com.

About Supatcha Resources Inc. (OTCBB: SAEI)

Supatcha Resources Inc. is a gold exploration company focused on acquiring and developing mining properties in Ukraine. Supatcha is in the final stages of acquiring two additional gold mining projects in southwestern Ukraine with world-class potential.

Notice Regarding Forward-Looking Statements

This news release contains "forward-looking statements," as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with mineral exploration. We are not in control of metals prices and these could vary to make development uneconomic. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-KSB for the last reported fiscal year, our quarterly reports on Form 10-QSB and other periodic reports filed from time-to-time with the Securities and Exchange Commission.

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