Renforth Resources Inc.

Renforth Resources Inc.

March 20, 2008 15:33 ET

Renforth Resources Inc. Proposes Private Placement

TORONTO, ONTARIO--(Marketwire - March 20, 2008) - Renforth Resources Inc. ("Renforth") is pleased to announce that it has signed an engagement letter with IBK Capital Corp. with respect to a private placement to raise gross proceeds of up to $6,000,000. The private placement will consist of the issuance of common shares at an issue price of $0.28 per share in consideration for cash proceeds of up to $3,000,000 and the issuance of "flow-through" common shares at an issue price of $0.50 per share in consideration for cash proceeds of up to $3,000,000. The net proceeds of the private placement offering will be used for general corporate purposes and to commence Renforth's exploration program within the McFaulds Lake "Ring of Fire" discovery area in north-eastern Ontario. The closing of the private placement is subject to the completion of definitive documentation with the subscribers and IBK Capital Corp. in its capacity as agent. All securities issued will be subject to a four month hold period following the closing date.

About Renforth

Renforth Resources Inc. is a Toronto-based diamond and base metals exploration company with significant concessions in the McFaulds Lake "Ring of Fire" discovery area of north-eastern Ontario. Renforth has five diamondiferous kimberlites: two are at the commercial bulk-sampling stage; the remaining three are targeted for specific follow-up drilling and economic evaluation. These claims lie between ten and twenty kilometres from Noront Resource Ltd.'s recent base metal discoveries at its Double Eagle Project. Renforth intends to explore high-priority sulphide targets and kimberlite targets in 2008.

This press release includes certain forward-looking statements within the meaning of Canadian securities laws that are based on expectations, estimates and projections as of the date of this press release. There can be no assurance that such statements will prove accurate, and actual results and developments are likely to differ, in some case materially, from those expressed or implied by the forward-looking statements contained in this press release. Readers of this press release are cautioned not to place undue reliance on any such forward-looking statements.

Forward-looking statements contained in this press release are based on a number of assumptions that may prove to be incorrect, including, but not limited to: timely implementation of anticipated drilling and exploration programs; the successful completion of new development projects, planned expansions or other projects within the timelines anticipated and at anticipated production levels; the accuracy of reserve and resource estimates, grades, mine life and cash cost estimates; whether mineral resources can be developed; title to mineral properties; financing requirements; general economic conditions; and changes in laws, rules and regulations applicable to Renforth. In addition to being subject to a number of assumptions, forward-looking statements in this press release involve known and unknown risks, uncertainties and other factors that may cause actual results and developments to be materially different from those expressed or implied by such forward-looking statements. Renforth has no intention or obligation to update the forward-looking statements contained in this press release.

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

Contact Information