Gold Terra Proposes Private Placement Aimed at Exploration in Northwest Territories

Vancouver-based Gold Terra Resource Corp. has announced plans to initiate a non-brokered private placement, targeting gross proceeds of $2.6 million. The offering will consist of up to 10 million common shares at $0.05 and up to 30 million charity flow-through shares at $0.07. The charity flow-through shares are designed to qualify under Canada's Income Tax Act, enhancing their appeal to investors through tax benefits.

Key stakeholders, including Eric Sprott, have expressed commitment to participating in the offering. The funds raised will be channeled towards exploration expenditures in the Northwest Territories, specifically the Con Mine Option property and the Campbell Shear target area. Additionally, proceeds from common shares will support general corporate needs.

The current focus on the Con Mine project includes increasing existing resources on the historic Campbell Shear structure, with drillings potentially uncovering new high-grade ore. Despite the mine's closure in 2003, its existing infrastructure supports this renewed exploration effort. All securities issued in this placement will be under a four-month hold period post-closing.