Glen Eagle Resources Inc.

Glen Eagle Resources Inc.

June 23, 2009 14:36 ET

Glen Eagle Receives Funding Confirmation of US$110 Million

MONTREAL, QUEBEC--(Marketwire - June 23, 2009) - Glen Eagle Resources Inc. (TSX VENTURE:GER) ("Glen Eagle Resources" or the "Company") is pleased to announce that it has received confirmation from Swiss Trustee Liberty Finanz and Trust AG that funding arrangements on behalf of Glen Eagle Resources and its Financial Partner Paradise Peak Holdings S.A. for US$110,000,000, have been made available through Mr. Shatta Hossam and the Investment Group he represents (see press release dated June 18, 2009).

Liberty Finanz and Trust AG confirmed Friday June 19th receipt of the investors'commitment, dated June 18th, 2009, including a statement of account from their financial institution in the amount of One Hundred and Ten Million United States Dollars (US$110,000,000).

The terms of the funding arrangement are based on a five year Gold Loan for the acquisition of 200,000 ounces of gold. The repayment of the loan will be made by way of a five year gold delivery schedule and an equal participation in benefits should the price of gold exceed $US800 per ounce. As per the terms of the Gold Loan Agreement and the initial US$110 Million, Liberty Finanz and Trust AG has undertaken to pay the Investment Group an agreed interest rate on all funds left on deposit.

The funds are committed for a 1 year period for the purpose of acquiring gold and gold mining opportunities available to Glen Eagle Resources and Paradise Peak Holdings S.A. While Glen Eagle remains interested in the Kinbauri Espana Project, it continues to look for additional opportunities and acquisitions in near term gold production projects and is currently evaluating several opportunities.

The TSX does not accept responsibility for the adequacy or accuracy of the release.

Contact Information

  • Glen Eagle Resources Inc.
    Jean Labrecque
    President & CEO