SOURCE: Gold Canyon Resources Inc.

September 19, 2005 17:47 ET

Gold Canyon Announces Private Placement of $50,000 U.S.

VANCOUVER, BC -- (MARKET WIRE) -- September 19, 2005 -- Gold Canyon Resources Inc. (TSX-V: GCU) ("Gold Canyon" or "the Company") is pleased to announce that it has arranged a private placement with a subscriber for 100,000 common share units (the "Units") at a subscription price of (U.S.)$0.50 per Unit for gross proceeds of (U.S.)$50,000.00. Each Unit consists of one common share in the capital of the Company and one-half of one non-transferable common share purchase warrant, each whole warrant entitling the holder to acquire one additional common share at a price of (U.S.)$0.60 per share for a period of 18 months from the date of the closing of the Offering. A finders' fee equal to 8% of the gross proceeds of the private placement is payable in cash to Shields & Co. of New York, New York.

All securities will be subject to a four-month hold period in accordance with applicable Canadian securities law and the policies of the TSX Venture Exchange. The securities have not been registered under the United States Securities Act of 1933, as amended or the securities laws of any state of the United States and may not be sold, transferred or assigned in the absence of an effective registration statement for the securities under applicable securities laws, or an available exemption from the registration requirements of those laws. Completion of the private placement is subject to final acceptance of the Company's filing documentation by the TSX Venture Exchange.

The net proceeds of the offering will be used for general corporate purposes.

About Gold Canyon Resources Inc.:

Gold Canyon is engaging in the acquisition and exploration of mineral and precious metals properties and currently owns and operates the Springpole Gold Project in the Red Lake Mining District of Ontario, Canada, and its Cordero Gallium Project in Humboldt County, Nevada, U.S.A. Additional information can be found on the Company's website: www.goldcanyon.ca.

Robert Carrington,
Chief Executive Officer & Director
THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE

Contact Information

  • For further information, please contact:

    Elaine Einarson
    (604) 682-3234
    Email Contact
    www.goldcanyon.ca

    Gold Canyon Resources Inc.
    #810-609 Granville Street,
    P.O. Box 10356 Pacific Centre,
    Vancouver, B.C. V7Y 1G5
    Tel: (604) 682-3234
    Fax: (604) 682-0537