Renforth Resources Inc.

Renforth Resources Inc.

January 05, 2007 10:50 ET

Renforth Resources Inc. Completes $535,000 Private Placement

TORONTO, ONTARIO--(CCNMatthews - Jan. 5, 2007) - Renforth Resources Inc. ("Renforth") is pleased to announce that it has completed a private placement for gross proceeds of $535,000.

The company has issued 194,000 multiple share units at a price of $2.50 per unit, each multiple share unit consisting of one non flow-through common share and four flow-through common shares. In addition, the company has also issued 100,000 single share units at a price of $0.50 per unit. Each single share unit consists of one non flow-through common share and one-half of one common share purchase warrant. Each whole warrant entitles the holder to purchase an additional non flow-through common share at an exercise price of $0.75 within two years of the date of issuance.

All securities issued pursuant to the private placement are subject to a four month hold period following the closing date of December 31, 2006.

Renforth intends to use the proceeds of the private placement for exploration and development of its mineral properties, and for administrative and operating expenses.

About Renforth

Renforth is a junior resource company focused on the exploration and development of gold and diamond mining properties. The company is exploring a gold prospect in the Timmins-Kirkland Lake area of Ontario and has a large land holding in the Attawapiskat region of Ontario adjacent to the Victor diamond mine that is now under development by DeBeers. The property holding includes the five diamondiferous kimberlites known as the Kyle series as well as claims that contain high potential geophysical anomalies.

This press release includes certain "Forward-Looking Statements" within the meaning of the US Private Securities Reform Act of 1995. Other than statements of historical fact, all statements are "Forward-Looking Statements" that involve such various known and unknown risks, uncertainties and other factors. There can be no assurance that such statements will prove accurate. Results and future events could differ materially from those anticipated in such statements. Readers of this press release are cautioned not to place undue reliance on these "Forward-Looking Statements". All dollar amounts are Canadian dollars unless otherwise noted.

No securities regulatory authority has approved or disapproved of the contents of this news release.

Contact Information

  • Renforth Resources Inc.
    Michael Newbury
    President & CEO
    (416) 368-5049