Gold Terra Completes $2.5 Million Private Placement with Eric Sprott as Lead Investor

Gold Terra Resource Corp. announced the successful closure of a $2.5 million private placement, led by prominent investor Eric Sprott. The transaction involved the sale of 50 million common shares priced at C$0.05 each.

This private placement saw participation from an insider of Gold Terra, receiving 240,000 common shares after a reduction from an initial 740,000. This transaction is identified as a "related party transaction" under specific financial regulations but falls within exempt categories, eliminating the need for a formal valuation or minority shareholder approval.

A finder's fee totaling $33,120 was paid corresponding to 6% of the transaction. All securities issued are under a four-month hold period. The funds raised are allocated for general corporate purposes and the current drilling program targeting the Campbell Shear at the Con Mine Option property, historically significant for high-grade gold production.

Gerald Panneton, Chairman & CEO of Gold Terra, expressed satisfaction with the oversubscribed offering, highlighting the ongoing support from both new and longstanding shareholders. The focus remains on exploring the Campbell Shear, aiming to add to the existing and historically rich mineral resources.