Sniper Resources Ltd.

Sniper Resources Ltd.

March 10, 2011 13:12 ET

Sniper Closes First Tranche of Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 10, 2011) -


Sniper Resources Ltd. (TSX VENTURE:SIP) (the "Company") is pleased to announce that it has closed the first tranche of its previously announced private placement by raising gross proceeds of $602,450 through the issuance of 2,409,800 units at $0.25 per unit. Each unit is comprised of one common share and one non-transferable share purchase warrant. Each share purchase warrant entitles the holder to purchase one common share at $0.50 per share until March 8, 2012.

The Company paid finder's fees totalling $28,625 cash (representing 10% of the proceeds raised by the finders) and 114,500 non-transferable finder's warrants (representing 10% of the units raised by the finders) in connection with the closing of this tranche of the private placement. Each finder's warrant entitles the holder to purchase one common share at $0.28 per share until March 8, 2012.

The Company plans to fund the balance of the private placement or a portion thereof in a second and final tranche.

The proceeds of the private placement will be used to advance the exploration programs on the Company's Guild and Overland pass projects and for general working capital.

All securities issued or issuable under this tranche of the private placement are subject to a hold period under applicable Canadian securities laws expiring on July 9, 2011, in addition to such other restrictions as may apply under applicable securities laws outside Canada.

About Sniper Resources Ltd.

Sniper Resources Ltd. is engaged in the identification, acquisition and exploration of gold properties in the State of Nevada, USA. The Company's two principal projects, Guild and Overland Pass, are subject to option agreements with Columbus Gold (U.S.) Corporation. Each option agreement provides the Company, through its wholly owned subsidiary Sniper Resources (U.S.) Inc., the right to earn a 51% interest in each of the projects by incurring an aggregate of US$2,000,000 in exploration expenditures on each property by December 31, 2012. The Company can earn an additional 19% interest in each property by completing a positive feasibility study on each property.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the Company's securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "1933 Act"), or any state securities laws and may not be offered or sold within the United States or to U.S. persons unless registered under the 1933 Act and applicable state securities laws, or an exemption from such registration is available. Any public offering of securities in the United States must be made by means of a prospectus that contains detailed information about the Company and its management, as well as financial statements.

Sniper Resources Ltd.

Scott Baxter, Chief Executive Officer

This news release includes certain forward-looking statements or information. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding plans for the completion of a private placement financing and other future plans and objectives of the Company are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's plans or expectations include market prices, availability of capital and financing, general economic, market or business conditions, regulatory changes, timeliness of government or regulatory approvals and other risks detailed herein and from time to time in the filings made by the Company with securities regulators. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation.

Neither the 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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