Viceroy Exploration Ltd.
OTC Bulletin Board : VCRYF
TSX : VYE

Viceroy Exploration Ltd.

July 05, 2005 09:10 ET

Viceroy Completes Bought Deal Financing of CDN$18,687,500

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - July 5, 2005) - NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE U.S.

Viceroy Exploration Ltd. ("Viceroy" or the "Company") (TSX:VYE)(OTCBB:VCRYF) is pleased to announce that it has closed a previously announced financing with a syndicate of underwriters led by Canaccord Capital Corporation and including Orion Securities Inc., National Bank Financial Inc., and Paradigm Capital Inc. (collectively, the "Underwriters"). The transaction consisted of 5,000,000 common shares plus an over allotment of 750,000 common shares, at a price of $3.25 per share. All the shares were fully subscribed for total gross proceeds of $18,687,500. The underwriters were paid a cash commission of 6% of the gross proceeds. The net proceeds of the offering are to be used by the Company for the exploration of the Company's Gualcamayo gold project in San Juan, Argentina, and for general working capital.

About Viceroy Exploration Ltd.

Viceroy Exploration Ltd. is a well-financed company focused on the exploration and advancement of its 100%-owned Gualcamayo gold project, in San Juan Province, Argentina. As stated in News Release #2004.21, dated Nov. 11, 2004, the main resource lies within the QDD deposit and the most recent resource estimate includes a measured and indicated resource of 37.1 million tonnes of 1.04 g/t Au (1.2 million ounces) using a cutoff grade of 0.5 g/t Au. An additional 11.3 million tonnes of 1.20 g/t Au (435,000 ounces) are classified as inferred. The nearby Amelia Ines deposit is estimated to contain a measured and indicated resource of 2.1 million tonnes of 2.82 g/t Au (192,000 ounces), also using a 0.5 g/t Au cutoff grade. The combined inferred resources for Amelia Ines and the adjacent Magdalena deposits amount to 2.9 million tonnes of 1.88 g/t Au (176,000 ounces).

Forward Looking Statements

Some of the statements in this news release contain forward-looking information, which involves inherent risk and uncertainty affecting the business of Viceroy Exploration Ltd. Actual results may differ materially from those currently anticipated in such statements.

News Release #2005.13

TSX does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Viceroy Exploration Ltd.
    Patrick G. Downey, P. Eng.
    President and CEO
    (604) 669-4777 or Toll Free: 1-888-662-4777
    or
    Viceroy Exploration Ltd.
    General Investor Inquiries
    1-888-662-4777
    (604) 696-0212 (FAX)
    www.viceroyexploration.com