Sagittarius Capital Corporation
NEX BOARD : SCX.H

September 24, 2010 14:02 ET

Sagittarius Capital Announces Alpaca Resources Closes Second Tranche of Private Placement

TORONTO, ONTARIO--(Marketwire - Sept. 24, 2010) - Sagittarius Capital Corporation (NEX BOARD:SCX.H) ("Sagittarius" or the "Company"), a capital pool company, is pleased to announce that Alpaca Resources Inc. ("Alpaca"), which has entered into an agreement to undertake a Qualifying Transaction with the Company, has closed the second tranche of a private placement. In this regard, Alpaca closed the second tranche of a non-brokered private placement for gross proceeds of $909,500. Combined with the first closing for $353,480, Alpaca has issued 12,629,810 Units for total gross proceeds of $1,262,980 pursuant to the private placement. Concurrently with the private placement, various debt holders converted an aggregate of $209,000 of debt into the offering for an additional 2,090,177 shares and 1,045,089 warrants.

Units were priced at $0.10 per Unit. Each Unit is made up of one common share of Alpaca and one half of one share purchase warrant of Alpaca. Each whole warrant is exercisable into one share of Alpaca at an exercise price of $0.25 for a period of 24 months.

Details of the agreement between the Company and Alpaca in relation to the proposed Qualifying Transaction are set out in the press release dated September 7, 2010.

Foundation Markets Inc. ("Foundation") acted as the agent for a portion of the offering, with the balance being non-brokered. Commission of 8% cash and 8% broker warrants were paid to Foundation and other registered agents.

Alpaca plans to use the proceeds of the offering for exploration, evaluating further acquisition opportunities, and general corporate purposes.

Completion of the Qualifying Transaction is subject to a number of conditions including, but not limited to, Exchange acceptance and if applicable pursuant to Exchange Requirements, majority of the minority shareholder approval. Where applicable, the Qualifying Transaction cannot close until the required shareholder approval is obtained. There can be no assurance that the Qualifying Transaction will be completed as proposed, or at all.

Investors are cautioned that, except as disclosed in the filing statement to be prepared in connection with the transaction, any information released or received with respect to the transaction may not be accurate or complete and should not be relied upon. Trading in the securities of a capital pool company should be considered highly speculative.

About Alpaca Resources Inc.

Alpaca Resources Inc. is a Canadian junior exploration company with advanced and early stage copper and gold exploration properties in the Western United States and Peru. Alpaca's copper portfolio consists of two principal assets in Arizona, the Hill Copper and Troy Ranch projects. Alpaca's gold portfolio consists of the Iron Butte project in Nevada and the Pataz project in the Peru.

About Foundation Markets Inc.

Foundation is a Toronto-based boutique investment bank and corporate finance advisory firm licensed as an Exempt Market Dealer. The firm is focused on working with small- and medium-sized companies with rapid growth potential, specializing in assisting pre-public clients in accelerating access to private capital and executing going-public transactions. FMI also works with public companies on financing, mergers and acquisitions, and providing strategic advisory services.

The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.

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

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