Lund Gold Ltd.
TSX VENTURE : LGD

Lund Gold Ltd.

March 20, 2008 12:34 ET

Lund Arranges Private Placements to Raise $2.5 Million

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 20, 2008) - Lund Gold Ltd. (TSX VENTURE:LGD) ("Lund") is pleased report that it has, subject to regulatory approval, arranged a brokered private placement of up to $2,000,000 of common share units and flow-through units. A maximum of $1,570,000 of these gross proceeds may be raised through the sale and issuance of flow-through units. The flow-through units will be issued at a price of $0.30 and the common shares will be issued at a price of $0.24. The gross proceeds will be used primarily to fund exploration work on its McFaulds Lake Property. Lund has been granted the option, from Noront Resources Ltd., to acquire a 50% legal and beneficial interest in 13 claim blocks covering a total of 169 units in the 'Ring of Fire', McFaulds Lake, Ontario, near Noront's nickel copper discovery.

Each unit will consist of one share and one half share purchase warrant, with every whole warrant entitling the purchase of one additional common share of Lund at $0.40 per share for a period of no longer than two years from the closing date. J.F. Mackie & Company Ltd. of Calgary, Alberta, has agreed to act as Lund's agent in respect of the brokered placement and will receive an 8% cash commission and broker warrants equal to 10% of the number of units sold under this placement. Each broker warrant will entitle the purchase of one Lund share at a price of $0.24 per share for a period of two years from the closing date.

Lund is also pleased to report that it has arranged, subject to regulatory approval, a non-brokered private placement of up to 1,100,000 flow-through units and up to 858,000 common share units on the same terms as the brokered private placement, for aggregate proceeds of up to $535,920. The closing of the non-brokered private placement shall occur on the same closing date as the brokered private placement, but the brokered private placement is not contingent on the Corporation closing the non-brokered private placement. A finder's fee will also be payable to an arm's length third party in respect of this private placement.

To find out more about Lund Gold Ltd. (TSX VENTURE:LGD), visit our website at www.lundgold.com.

On behalf of the Board of Directors of LUND GOLD LTD.

Chet Idziszek, President

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

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