July 09, 2007 17:57 ET

Lakota Compensates Director of Subsidiary

TORONTO, ONTARIO--(Marketwire - July 9, 2007) - Lakota Resources Inc. (TSX VENTURE:LAK) (the "Company") announces that it has agreed on compensation to be paid to a director of the Tanzanian subsidiary of the Company whom is also the Managing Director and sole shareholder of Nyati Resources Ltd. The director worked during the period of 2002 to the present without compensation, on the understanding that compensation would be due and payable provided the required documentation to allow three primary mining licences (PMLs) to be surrendered to the Company was delivered to the Company. In Q1-2007 the director delivered to the Company the required documentation and compensation in the amount of US$225,000 plus reasonable 'out of pocket' expenses was agreed to. Approximately US$45,000 (Cdn$50,000) of this is being paid to Nyati Resources Ltd by the issuance of 200,000 common shares in the capital of the Company at a deemed issue price of Cdn$0.25 per share. The Company has adequate funds on hand to settle this commitment. These PMLs are located in Tanzania within an area covered by 100% Company owned prospecting licences.

This press release contains certain forward-looking statements. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, risks related to international operations; risks related to joint venture operations; actual results of current exploration activities; changes in project parameters as plans continue to be refined, future prices of resources; possible variations in reserves, grade or recovery rates, accidents, labour disputes and other risks of the mining industry; and delays in obtaining governmental approvals or financing or in the completion of development or construction activities. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

Outstanding Shares: 44,298,523

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

Contact Information

  • Vantage Communications Ltd.
    Kyle Johnston
    Investor Relations
    (778) 785-0398
    Lakota Resources Inc.
    Stanley Robinson
    (416) 368-1447 or Cell: (416) 505-2856
    (416) 368-8957 (FAX)