October 24, 2016: Redstar Gold Corp. (TSX.V: RGC, US: RGCTF, FRA: RGG) ("Redstar" or the "Company") is pleased to announce that 35,897,000 warrants, with an exercise price of CDN$0.10 maturing on October 21, 2016, were exercised. This resulted in gross proceeds of approximatively CDN$3.6 million of net new cash coming into the treasury.
Jacques Vaillancourt, Chairman of Redstar commented, "The management and Board of Redstar are delighted with the expression of confidence from its long standing shareholder base, with over 91% of these warrants exercised. In addition to the recent CDN$4.1 million capital raise in September 2016, the exercise of these warrants leaves the Company's treasury in a strong position. Redstar will use the funds to continue to advance the Company's flagship high grade Unga Gold Project, where we are currently in the midst of a drilling program, and expect to be drilling again in the early spring of 2017. We expect to issue a corporate update later this week."
About Redstar Gold Corp
Redstar is well financed junior exploration company focused on high-grade gold exploration in North America. In Alaska, the Company is currently exploring the 100% controlled high-grade Unga Gold Project. In addition, Redstar recently sold its Nevada portfolio to NV Gold Corp. (TSXV: NVX), in return for two (2) board seats and 29.9% of NV Gold Corp. Redstar also owns 30% of the Newman Todd Gold Project, in Red Lake, Ontario, Canada.
On Behalf of the Board of Directors,
Peter A. Ball, President and CEO
For additional information please contact:
Toll Free: 877.310.3330
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Forward-Looking Information This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that Redstar Gold Corporation (the "Company") expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.