Oct. 27, 2010 (Market News Publishing) --
AMADOR GOLD CORP ("AGX-V") - Private Placement
Amador Gold Corp. (the "Company") is pleased to announce that it proposes to raise up to $2,000,000 by way of a non-brokered private placement through the issuance of up to 10,000,000 units at a price of $0.20 per unit (the "Unit"). Each Unit will consist of one non-flow through common share and one-half of one non-flow through, non-transferable share purchase warrant (the "Warrant"). Each full Warrant will entitle the holder to purchase one additional common share of the Company at a price of $0.26 for a period of three years from closing the private placement. The Company may give written notice that the Warrants will expire in 30 days if the Company's shares trade at or above $0.60 for 21 consecutive trading days.
The private placement and any modifications to it are subject to compliance with applicable securities laws and to receipt of regulatory approval. The Company may pay finders' fees in accordance with the policies of the TSX Venture Exchange.
Proceeds of the financing will be used to undertake drill programs planned for the Company's highly prospective Dale Gold, Sewell, Horwood, Loveland and Silverclaim properties located in the Timmins, Ontario mining area, and as well to provide for basic administration costs. The Company will be announcing specific plans for each project shortly.
After reviewing results from its Patent and Sewell East properties and its 50% interest in the Forge Lake and Otter Pond/Hawk Junction properties, the Board of Directors has determined not to continue with its option on these properties.
M Partners Inc. has been retained as lead agent in connection with the Offering and as financial advisor to explore strategic alternatives for the Company. M Partners are located in Toronto and Vancouver with over 25 professionals serving the needs of their institutional and retail clients.
About Amador Gold Corp
Amador holds a portfolio of mineral projects in mining-friendly Ontario, led by its flagship Loveland Gold Project near Timmins, where exploration and drilling programs currently underway are focused on gold and nickel-copper deposits. The Kell property has similar silver-cobalt-mineralization as the nearby historic Gowganda region, where approximately 60 million ounces of silver were mined in the early 1900s. Other Ontario projects with exploration potential include the Horwood, Maskooch, and Dale Gold, gold properties, and the Fripp nickel property.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.
Capitalization Report for Amador Gold Corp
Shares Issued: 267040856
Shares Escrow: 25000
TSX Venture closing price for Amador Gold Corp
Date: 2010/10/26
Closing Price: 0.260
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