La Ronge Gold Corp.
TSX VENTURE : LAR

La Ronge Gold Corp.

December 06, 2011 09:30 ET

La Ronge Gold Closes Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 6, 2011) - La Ronge Gold Corp. (TSX VENTURE:LAR) ("La Ronge" or the "Company") announces that further to the Company's news release dated October 20, 2011 the Company received TSX-V approval on November 29, 2011 and closed its private placement with 2,690,000 NFT units (the "NFT units") and 1,388,000 flow-through units (the "FT units") for gross proceeds of $1,088,900. A finders' fee of $83,120 and 301,200 units (200,800 units have the same terms as the NFT units and 100,400 units have the same terms as the FT units) was paid from the proceeds.

Each NFT unit and FT unit consisted of one common share and one non-transferable common share purchase warrant. Each full warrant entitles the holder to purchase one additional non flow-through common share of the company at an exercise price of $0.40 for two years from the date of issue of the warrant.

All securities issued will be subject to a four month hold period. Proceeds from the flow-through portion of the placement will be applied to La Ronge's exploration expenditures on the Company's Canadian properties and the proceeds from the non flow-through portion of the placement will also be applied to general working capital.

The company is amending the finder's fee for its private placement announced May 2, 2011. The finder's fee is being amended to include 299,200 units with an exercise price of $0.15, and 209,600 units with an exercise price of $0.20. Both groups of units are valid for two years from the date of issue.

Proceeds from the private placement will be used for exploration expenditures on the Company's Saskatchewan and Ontario mineral properties as well as for general working capital.

La Ronge Gold Corp. is a gold exploration company focusing on gold exploration projects in Saskatchewan and Ontario.

The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections.

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

Contact Information

  • La Ronge Gold Corp.
    Rasool Mohammad
    President & CEO
    (604) 639-4533
    (604) 685-3764 (FAX)
    www.larongegold.com