November 01, 2007 08:49 ET

Young-Shannon Gold Mines, Limited Announces Planned Non-Brokered Private Placement of Up To CDN$ 2,200,000.00

TORONTO, ONTARIO--(Marketwire - Nov. 1, 2007) - Greg Lipton, President and CEO of Young-Shannon Gold Mines, Limited (Young-Shannon) (TSX VENTURE:GYS) is pleased to announce that the company has arranged a non-brokered private placement of up to 22 million units at a price of $CDN 0.10 per unit for gross proceeds of up to $CDN 2,200,000.00. Each unit will consist of one common share of Young-Shannon and one-half of one common share purchase warrant. Each whole common share purchase warrant will entitle the holder thereof to purchase one common share of Young-Shannon at a price of $0.15 per share for a period of 24 months following the closing date of the private placement.

Young-Shannon anticipates closing of the private placement within 10 business days from this date.

Completion of the private placement is subject to receipt of all applicable Board and regulatory approvals and consents, including the approval of the TSX Venture Exchange. All securities issued in connection with the private placement shall be subject to a four month statutory hold period.

Proceeds of the financing will used to fund geological mapping, geochemical sampling, geophysical surveying, and a diamond drilling program on its recently acquired M-18 gold property option in Argentina (see Young-Shannon's Press Release of June 07, 2007) as well as to fund a diamond drilling program to further evaluate the gold zone that is being defined on Young-Shannon's McMillan Gold Mine property near Espanola, Ontario.

Young-Shannon Gold Mines, Limited is a precious metals exploration company which holds a group of 11 patented and 18 unpatented claims within Chester Township located west of Highway 144 midway between Sudbury and Timmins, Ontario. It has an option to earn a 60 % interest in the McMillan Gold Mine property, located 75 kilometres southwest of the Greater City of Sudbury, and it also has an option to earn a 70% interest in the M-18 gold property in Argentina. The Company has 31,460,078 common shares outstanding and is listed on the TSX Venture Exchange under the symbol GYS.

This press release contains certain forward-looking statements. While these forward-looking statements represent our best current judgment, they are subject to a variety of risks and uncertainties that are beyond the company's ability to control or predict and which could cause actual events or results to differ materially from those anticipated in such forward-looking statements. Accordingly, readers should not place undue reliance on forward-looking statements.

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

Contact Information