Kestrel Gold Inc.
TSX VENTURE : KGC

December 30, 2010 14:10 ET

Kestrel Gold Announces Issuance of Broker's Warrants

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 30, 2010) -

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Kestrel Gold Inc. (the "Corporation") (TSX VENTURE:KGC) announces that further to its press release dated November 3, 2010, it has issued an additional 100,000 brokers warrants ("Broker's Warrants") to an arms length finder in connection with the private placement which closed in two tranches on October 29, 2010 and November 3, 2010 (the "Private Placement"). Each Brokers Warrant entitles the holder to purchase one (1) unit of the Corporation ("Unit") at a purchase price of $0.40 and is exercisable on or before one (1) year from October 29, 2010.

Each Unit consists of one (1) common share in the capital of the Corporation ("Common Share") and one (1) Common Share purchase warrant ("Warrant") of the Corporation. Each Warrant entitles the holder to purchase one (1) Common Share at a purchase price of $0.60 per Common Share exercisable on or before one (1) year from October 29, 2010.

The Corporation issued an aggregate of 8,035,500 Units for gross proceeds of $3,214,200 pursuant to the Private Placement and the Corporation paid or issued to certain arms length finders an aggregate of $54,950, 474,800 Common Shares and 731,800 Broker's Warrants as finder's fees for the Private Placement.

About Kestrel Gold Inc.

Listed on the Exchange, Kestrel is committed to acquiring, exploring and development precious metal projects in North and South America. It has an experienced and committed board of directors and the financial ability to aggressively meet its objectives.

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

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