Otis Announces Non-Brokered Private Placement
October 14, 2009
Vancouver, B.C. - Otis Gold Corp. (“Otis” or the “Company”) is pleased to announce a non-brokered private placement of up to 3,300,000 units at a price of $0.65 per unit, for aggregate gross proceeds of up to CDN $2,145,000. Each unit will consist of one common share and one-half of one transferable common share purchase warrant (each whole such purchase warrant being a “Warrant”). Each Warrant will be exercisable to purchase one common share of the Company for two years, at a price of $0.90 per Share in year one, and $1.25 per Share in year two.
The net proceeds from this private placement will be used for general working capital purposes. Commissions or finder’s fees may be paid to qualified entities up to the rates allowed by the TSX Venture Exchange. The proposed financing is subject to the approval of the TSX Venture Exchange.
About the Company
Otis currently owns five precious metal projects located in Idaho and Nevada, two of which (the Kilgore Gold Project and the Oakley Gold Project) contain National Instrument Policy 43-101 compliant resources totaling in excess of 700,000 ounces of gold.
ON BEHALF OF THE BOARD
“Craig T. Lindsay”
President and CEO
For additional information, please contact:
Tel: 604.683.2507 Fax: 604.683.2506
#350 - 409 Granville Street, Vancouver, B.C., V6C 1T2
THE TSX VENTURE EXCHANGE HAS NEITHER APPROVED OR DISAPPROVED OF THE CONTENTS HEREIN..
This news release does not constitute an offer to sell or a solicitation of an offer to sell any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.