Abzu Gold Ltd.
TSX VENTURE : ABS
OTCQX : ABZUF

Abzu Gold Ltd.

July 26, 2011 12:51 ET

Abzu Gold Ltd. Announces Up to $3,000,000 Non-Brokered Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 26, 2011) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION THROUGH U.S. NEWSWIRE SERVICES

Abzu Gold Ltd. (the "Company") (TSX VENTURE:ABS)(OTCQX:ABZUF) announces that the Company is proceeding with a non-brokered private placement pursuant to which the Company will issue an aggregate of up to 4,615,385 units (the "Units") at a price of $0.65 per Unit, to raise gross proceeds of up to $3,000,000 (the "Private Placement").

Each Unit will consist of one common share and one-half of one common share purchase warrant. Each warrant will entitle the holder to acquire an additional common share of the Company for a period of 12 months following the date of issuance of the Units at a price of $0.90 per share.

A finder's fee equal to 5% of the gross proceeds raised may be paid to certain finders for part of the Private Placement. Additionally, certain finders may receive finder's warrants equal to 5% of the number of Units purchased by subscribers introduced to the Company.

The Private Placement is subject to TSX Venture Exchange approval and the securities issued pursuant to the Private Placement will be subject to a four-month hold period.

The net proceeds from the sale of the Units shall be used for working capital and for general corporate purposes.

On behalf of the board of directors of ABZU GOLD LTD.

Allan Serwa, Chief Executive officer

This news release contains certain forward-looking statements, and such statements involve risks and uncertainties. The results or events predicted may differ materially from actual results or events. Any forward-looking statement speaks only as of the date of this news release. Except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results, or any other occurrence.

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 press release, which has been prepared by management.

Contact Information

  • Abzu Gold Ltd.
    Quentin Mai
    Manager, Corporate Communications
    604-638-3288
    qmai@abzugold.com