Oro Gold Resources Ltd.
TSX VENTURE : OGR

Oro Gold Resources Ltd.

June 10, 2008 14:12 ET

Oro Gold Announces Private Placement Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 10, 2008) - Oro Gold Resources Ltd. ("Oro Gold") (TSX VENTURE:OGR) is arranging a non-brokered private placement of up to 3.5 million units (the "Units") at a price of $0.55 per Unit for proceeds of up to $1,925,000, subject to regulatory approval. Each Unit consists of one common share and one-half of one common share purchase warrant, each whole warrant entitling the holder to purchase one additional common share at a price of $0.75 per share for the first year and $1.00 per share for the second year after the date of issuance. The Units will be subject to a four-month hold period from the closing date. Finder's fees may be payable in connection with certain subscriptions under the financing.

Oro Gold intends to use the proceeds of the private placement to further define and expand the current gold resource at its 100%-owned flagship Trinidad property located in Sinaloa, Mexico, and for other corporate purposes and general working capital. Oro Gold continues to advance the Trinidad property with drilling and has secured a reverse circulation and a core drill rig. The company is working towards increasing the current inferred resource base of 200,930 ounces of gold (4,491,800 tonnes at 1.39 g/t gold) (see Oro Gold's press release dated May 29, 2008).

About Oro Gold

Oro Gold is a gold exploration company with 12 properties located in Mexico and Panama, with 5 of the properties optioned to joint venture partners. The district-scale Trinidad property continues to be Oro Gold's top priority project and the main focus of exploration and resource definition efforts. Ongoing generative activity and a joint venture strategy will continue to be a fundamental part of Oro Gold's growth. Oro Gold's mission is to build shareholder value by making discoveries and developing low-cost gold resources through early and advanced stage exploration.

ON BEHALF OF THE BOARD OF DIRECTORS

Darren Bahrey, President and CEO

Some statements in this release may contain forward-looking information. These statements include, but are not limited to, statements with respect to future exploration, development and production activities, the completion of financings and future expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the timing and success of future exploration, development and production activities, the timing and amount of future financings and the timing and amount of expenditures.

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

Contact Information

  • Oro Gold Resources Ltd.
    Darren Bahrey
    President and CEO
    (604) 646-1580
    (604) 642-2411 (FAX)
    Website: www.orogoldresources.com