Yorbeau Resources Inc.

Yorbeau Resources Inc.

December 08, 2009 09:43 ET

Yorbeau Closes First Tranche of Private Placement

MONTREAL, QUEBEC--(Marketwire - Dec. 8, 2009) - Yorbeau Resources Inc. ("Yorbeau") (TSX:YRB.A) is pleased to announce that the Company has closed on a non-brokered private placement financing of $1.35M representing the first tranche of an equity financing of up to $4M. Under this first tranche the Company has issued 5,400,000 common shares at a price of $0.25 per share for gross proceeds of $1,350,000. Under the financing the Company has agreed to pay a finder's fee on certain subscriptions equal to 6% of the gross proceeds raised and warrants ("Finder's Warrants") equal to 5% of the shares sold. Each Finder's Warrant will be exercisable for one common share of the Company at a price of $0.40 per share and will expire 18 months following closing.

Proceeds from the offering will be used primarily to fund the Company's 2010 exploration program which will commence in early January. The last hole of the 2009 season is near completion at the Lake Gamble block. Drilling will continue at Lake Gamble after the holiday break to extend the gold zone there. Drilling will also be re-started at the Cinderella block, which has not been drilled since the high grade results from hole 519 were published. The objective at this block is to drill additional holes in the vicinity of the 2008 drill holes, holes 464 and 467, and to drill more holes in the vicinity of hole 519 which encountered 12.6 g/t Au over 4.0 metres in the Piche Group and 74.67 g/t Au over 10.35 metres, including 5,750 g/t Au over 0.13 metres in a new zone situated in the metasediments below the Piche Group (see press release of September 23, 2009).

In other developments the Company notes that Agnico-Eagle Mines Limited has commenced a drilling program on its Ellison Property which was purchased from Yorbeau and on which Yorbeau retains a 21/2% Net Smelter Return Royalty. The following is an extract from the Agnico-Eagle press release of November 30, 2009:

"Additionally, the Company is exploring its Ellison property, located approximately four kilometres west of the LaRonde mine. One hole is being drilled from surface, targeting an extension of Iamgold's Westwood deposit, which is known to cross the boundary onto Ellison. The Westwood orebody begins approximately 2 kilometres below surface and is between the Ellison property and Iamgold's Doyon property, in the same favourable horizon as the Bousquet (past producer), LaRonde and Doyon mines. Drilling began November 9 and is anticipated to reach the target area in the first quarter of 2010."

Samples from the Rouyn property are analyzed by ALS-Chemex in Val-d'Or, Quebec. The qualified persons under National Instrument 43-101 are Thomas L. Robyn Ph.D., CPG, RPG, and Laurent Halle, P.Geo., who have reviewed and approved the content of this release.

About Yorbeau Resources Inc.

The raison d'etre of Yorbeau is to identify a world class gold deposit in a major mining camp. Against the backdrop of a market that is steadily more welcoming for gold, Yorbeau is poised to significantly increase the known gold resources on its properties in Northern Quebec.

Forward-looking statements: Except for statement of historical fact, all statements in this news release, without limitation, regarding new projects, acquisitions, future plans and objectives are forward-looking statements which involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements.

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