Cypress Development Corp.
TSX VENTURE : CYP
FRANKFURT : C1Z

Cypress Development Corp.

December 16, 2008 09:00 ET

Cypress Closes $1,500,000 of Private Placement with MineralFields Group

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 16, 2008) - Cypress Development Corp. (TSX VENTURE:CYP) (FRANKFURT:C1Z) announces that it has completed the first tranche closing of a non-brokered private placement initially announced November 26, 2008 of 8,571,424 flow-through units ("FT Units") at a price of $0.175 per FT Unit to the MineralFields Group.

The funds raised will be applied to the continuing winter drill program on the Company's Broulan Reef gold project located in Red Lake, north-western Ontario.

Each FT Unit consists of one common flow-through share and one share purchase warrant. Each warrant entitles the holder to purchase one non flow-through common share of the Company for a period of two years at an exercise price of $0.25 per share in the first year and $0.30 per share in the second year. A Finder's fee totalling $108,750.00 cash was paid in connection with the financing. The common shares comprising the units and any shares acquired on exercise of the warrants forming part of a unit will be subject to a four month restriction on re-sale, expiring on April 16, 2009.

"We are very pleased to be entering into this relationship with MineralFields Group", said Don Huston, President and C.E.O. of Cypress Development Corp. "This is an important milestone in the growth of Cypress Development Corp. and we look forward to working with MineralFields Group as we develop our holdings in the Red Lake area in north-western Ontario."

About MineralFields, Pathway and First Canadian Securities

MineralFields Group (a division of Pathway Asset Management) is a Toronto-based mining fund with significant assets under administration that offers its tax-advantaged super flow-through limited partnerships to investors throughout Canada during most of the calendar year, as well as hard-dollar resource limited partnerships to investors throughout the world. Pathway Asset Management also specializes in the manufacturing and distribution of structured products and mutual funds. Information about MineralFields Group is available at www.mineralfields.com. First Canadian Securities®, a division of Limited Market Dealer Inc., is active in leading resource financings (both flow-through and hard dollar PIPE financings) on competitive, effective and service-friendly terms, with investors both within and outside of MineralFields Group.

About Cypress Development Corp.

Cypress Development Corp. is a diversified precious and base metal exploration and development company with properties in Red Lake, Ontario, Canada and in Nevada, U.S.A.

To find out more about Cypress Development Corp. (TSX VENTURE:CYP), visit our website at www.cypressdevelopmentcorp.com.

ON BEHALF OF THE BOARD OF DIRECTORS

DON HUSTON, President

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.

Contact Information