Galantas Gold Corporation

Galantas Gold Corporation

June 11, 2012 09:00 ET

Galantas Announces Exercise of Warrants and Repayment of Loan

TORONTO, ONTARIO--(Marketwire - June 11, 2012) - Galantas Gold Corporation (the 'Company') (TSX VENTURE:GAL)(AIM:GAL), the AIM and TSXV quoted gold producer and explorer with a 100% interest in Ireland's only operating gold mine, is pleased to announce that Kenglo One Limited ('Kenglo') has exercised its right to acquire 20,560,340 common shares of the Company under the terms of warrants held by it. The warrants were exercisable at Cdn. $0.10 per share. The aggregate consideration from the exercise of the warrants of Cdn. $2,056,034 was used by the Company to extinguish, in their entirety, the principal and interest obligations outstanding under the loan agreement dated March 9, 2011 between Kenglo and the Company.

As a result of this exercise, Kenglo currently holds 66,110,340 common shares representing 25.8% of the outstanding common shares of the Company. Roland Phelps, President and Chief Executive Officer of the Company stated: "We are extremely pleased that Kenglo has decided to make this additional investment, which we view as a solid expression of support for Galantas and its activities."

Application has been made for the 20,560,340 common shares to trading on AIM and admission is expected on 15 June 2012.

Galantas Gold Corporation Issued and Outstanding Shares total 256,210,395.

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

  • Galantas Gold Corporation
    Jack Gunter, P.Eng
    +44 (0) 2882 241100

    Galantas Gold Corporation
    Roland Phelps, C.Eng
    President & CEO
    +44 (0) 2882 241100

    Maclir Consulting Ltd
    Courtenay Heading
    Investor Relations Consultant
    (UK) +44 (0) 7624 424 455

    Charles Stanley Securities (Nominated Adviser)
    Mark Taylor / Darren Vickers
    +44 (0) 20 7149 6000