New Amendment to the Terms of a Non-brokered Private Placement
July 13, 2006
VANCOUVER, BRITISH COLUMBIA July 13, 2006: The Company has amended the terms of a non-brokered private placement; previous news releases disseminated by the Company on May 30th and June 20th, 2006 should be disregarded in their entirety. The amended terms of the private placement are now as follows:
The Company is offering 7.0 million flow-through units at a price of $0.10 per unit, (the “Flow-Through Units”), and 2.0 million non-flow-through units at a price of $0.08 per unit, (the “Non-Flow-Through Units”).
The Flow-Through Units will consist of one flow-through common share and one non-transferable share purchase warrant exercisable into one non-flow-through common share at a price of $0.12 for a period of 12 months.
The Non-Flow-Through Units will consist of one non-flow-through common share and one non-transferable share purchase warrant exercisable into one non-flow-through common share at a price of $0.12 for a period of 24 months.
The net proceeds from the placement will be used for general working capital and to conduct additional geophysics and drilling on the copper-gold-molybdenum porphyry system and on the Damascus Silver Vein located on the Seel Property. The Seel Property is located 120km south of the town of Houston, BC and is 8km east of the Huckleberry Mine.
The preceding is subject to TSX acceptance.
ON BEHALF OF THE BOARD OF DIRECTORS
For further information, please contact:
Doug Kerr, Investor Relations
Gold Reach Resources Ltd.