Uragold Bay Resources Inc.

Uragold Bay Resources Inc.

July 31, 2009 15:09 ET

Uragold Bay Closes Equity Private Placement

MONTREAL, QUEBEC--(Marketwire - July 31, 2009) - URAGOLD BAY RESOURCES INC. (TSX VENTURE:UBR) is pleased to announce that it has closed a Hard Cash brokered private placement for an amount of $180,000. The placement was syndicated and D&D Securities Company was acting as the Agent for the brokered private placement. Included in the amount raised are the three subscriptions from insiders to the Corporation for a total of $23,000.

Combining the funds raised in the private placement with the funds the Corporation will receive through the exploration credits program of the Quebec Government, the Corporation intents to use the funds to sign agreements with Contractors in regards to; 1) the flying of airborne surveys over the Uskawanis Uranium Property and the Blue Lake Base Metal and Gold Property. Both the Uskawanis and the Blue Lake properties are situated in the James Bay Region of Quebec, near the town of Radisson; and 2) engage the independent geological team that will be responsible for the completion of the 43-101 compliant qualification report required to complete the Ice Age Gold Properties acquisitions.

The private placement comprises 6,000,000 units priced at $0.03 per Unit ("Unit"). Each Unit consists of one common share and one half of one common share purchase Warrant ("Warrant"). Each full Warrant will entitle the holder to purchase one common share at a price of $0.07 during the first 12-month period following the closing of the placement and at a price of $0.10 for the second 12-month period that will follow the date of the closing of the placement. The common shares and warrants comprising the units are subject to a hold period of 4 months following the date of the closing of the placement.

In connection with the placement, a commission of $16,850.00 was paid to D&D Securities Company. Furthermore 523,333 Agent options were granted to D&D Securities Company. These options will allow the Agent to purchase 523,333 Units at $0.05 per Unit with the warrants attached being exercisable at $0.07 for the first twelve (12) months and $0.10 for the second twelve (12) months from the closing date of the placement.

About Uragold Bay Resources Inc.

Uragold Bay Resources Inc. is a Canadian based junior resource and exploration company trading under the symbol UBR on the TSX Venture Exchange. The Company has 88,374,367 shares outstanding. The Company holds 100% of the 314 km2 Uskawanis Uranium property located just south of the Opinaca reservoir and 100% of the Blue Lake Base Metal and Gold property situated close to Radisson in the James Bay region.

This press release contains certain "forward-looking statements," as identified in the Uragold Bay periodic fillings with Canadian Securities Regulators that involve a number of risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.

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

  • Uragold Bay Resources Inc.
    Bernard J. Tourillon
    President and CEO
    Uragold Bay Resources Inc.
    Patrick Levasseur
    Toll-free 1-888-666-3431