Glen Eagle Resources Inc.
TSX VENTURE : GER

Glen Eagle Resources Inc.

April 17, 2009 09:18 ET

Glen Eagle Resources Inc.: Binding Letter of Intent

MONTREAL, QUEBEC--(Marketwire - April 17, 2009) - Glen Eagle Resources Inc. (TSX VENTURE:GER) ("Glen Eagle Resources" or the "Company") is pleased to announce that it has signed a Binding Letter of Intent with Kinbauri Gold Corp. (TSX VENTURE:KBN) whereby Glen Eagle will invest C$32M in return for a 45% interest in Kinbauri Espana S.L., the owner and operator of the El Valle/ Carles gold/copper project and other exploitation concessions within the Rio Narcea Gold Belt in Northwestern Spain. The agreement also grants Glen Eagle the right to buy an additional 5% interest for a further C$5M. Kinbauri shall remain as the operator of the project.

We are pleased to be working with our new partner Kinbauri Gold Corp and its CEO, DR. Vern Rampton, Ph. D., President. We are equally pleased to be able to participate in an advanced stage project where all the technical and financial engineering has been extensively elaborated in a well defined scoping study.

Closing of Transaction

The transaction is scheduled to close by May 15, 2009 and is subject to customary due diligence, execution of final Shareholder, Operating Agreements, the completion of due diligence, all necessary approvals of regulatory, stock exchange and securities authorities and commissions and compliance with requirements of applicable securities laws.

Update

The credit facility (see press release March 24 2009) allocated to Glen Eagle Resources has been extended from May 1st to June 12th 2009.
Glen Eagle will have approximately 30 million shares outstanding after the closing of the transaction.

FOR FURTHER INFORMATION:

Kinbauri Gold's Hub at http://www.agoracom.com/IR/kinbauri where investors can post questions and receive answers or review questions and answers already posted by other investors. Kinbauri Web-Site: www.kinbauri-gold.com

Forward-Looking Statements

This news release contains discussion of items that may constitute forward-looking statements within the meaning of securities laws that involve risks and uncertainties. Although the company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurances that its expectations will be achieved. Factors that could cause actual results to differ materially from expectations include the effects of general economic conditions, actions by government authorities, uncertainties associated with contract negotiations, additional financing requirements, market acceptance of the Company's products and competitive pressures. These factors and others are more fully discussed in Company filings with Canadian securities regulatory authorities.

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

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