Riva Gold Corporation

Riva Gold Corporation

October 07, 2010 15:57 ET

Riva Closes $3.25 Million Private Placement and Grants Stock Options

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 7, 2010) - Riva Gold Corporation ("Riva" or "the Company") announces the closing of the non-brokered private placement of 6,500,000 units of the Company ("Units") at a price of Cdn$0.50 per Unit for gross proceeds of Cdn$3,250,000. 

Each Unit consists of one common share ("Common Share") and one-half of one non-transferrable common share purchase warrant (each whole warrant, a "Warrant") with each Warrant exercisable to acquire one Common Share at an exercise price of Cdn$0.75 for a period of one year from the date of listing on the TSX Venture Exchange ("TSX-V").

"We are pleased with this placement as it further strengthens our balance sheet," said Richard Warke, Chairman and CEO of Riva. "It provides additional funding for our phase one drill program allowing us to continue to advance our exploration and development efforts at Noseno."

The net proceeds from the private placement will be used to fund further exploration and development of the Company's mineral properties in Guyana and for general corporate purposes.

As required under securities regulations, the securities (and all underlying securities) issued in the private placement are subject to a four-month hold period expiring February 6, 2010.

Riva has also granted 2,820,000 incentive stock options to directors, officers, consultants and employees of the Company. The options are exercisable at Cdn$0.50 per share for a period of five years expiring September 30, 2015. The stock option plan is subject to shareholder approval.

About Riva

Riva is a Canadian mineral exploration company that controls 56,341 acres of land in the highly prospective and under-explored Warapati/Noseno and Arawapai areas of Guyana. Sampling programs to date on the properties have shown quartz veins grading from 30 to 110 grams per tonne gold, although no modern exploration work has been done. The Company initiated a phase one drill program in September 2010. Riva has previously announced its common shares have been conditionally approved for listing on the TSX-V and will commence trading within the next two weeks under the symbol "RIV".


This news release contains forward-looking statements relating to the proposed listing of Riva on the TSX Venture Exchange and other statements that are not historical facts. Such forward-looking statements are subject to known and unknown risks, uncertainties and assumptions that could cause actual results to vary materially from targeted results the results or events predicted in these forward-looking statements. As a result, investors are cautioned not to place undue reliance on these forward-looking statements.

There is no assurance that Riva will be able to achieve a listing on the TSX Venture Exchange or any other stock exchange.

The forward-looking statements contained in this news release are made as of the date of this release. Except as required by applicable law, Riva disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Riva Gold Corporation

On behalf of the Board of Directors for Riva:

Richard Warke, Chief Executive Officer

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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