C2C Gold Corp. Completes $2.63 Million Private Placement and Strategic Investment by Eric Sprott - Seite 2

A copy of Mr. Sprott's early warning report will appear on C2C’s profile on SEDAR and may also be obtained by calling Mr. Sprott’s office at [phone] (200 Bay Street, Suite 2600, Royal Bank Plaza, South Tower, Toronto, Ontario M5J 2J1).

One director of the Company participated in the Offering for 650,000 Units for proceeds of $104,000.

Each transaction with an insider of the Company constitutes a “related party transaction” within the meaning of MI 61-101 Protection of Minority Security Holders in Special Transactions. The Company is relying on the exemptions from the formal valuation and minority approval requirements contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101, on the basis that the fair market value of the transaction does not exceed 25 per cent of the Company's market capitalization. The directors of the Company have approved the Offering. The Company did not file a material change report more than 21 days prior to the closing of the transaction due to the timing of the announcement and closing occurring in less than 21 days.

In connection with the Offering, the Company paid finders fees of $122,720 and 288,000 broker warrants, each exercisable into one Common Share at a price of $0.16 per share for a period of two years from the issuance date. PowerOne Capital Markets Limited acted as finder in connection with the Offering.

The proceeds of the Offering will be used to fund exploration expenditures on the Company’s Newfoundland properties and for general working capital. The securities issued pursuant to the Offering are subject to a hold period of four months in accordance with applicable securities laws.

The securities offered have not, nor will they be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons in the absence of U.S. registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.

C2C Gold - Newfoundland Properties
C2C Gold’s project areas cover more than 1,150 km² along and between the Red Indian Line (RIL) and the Valentine Lake shear zone in the Central Gold Belt of Newfoundland. The Company’s prospective holdings extend for more than 100 km along the Central Gold Belt a northeast trending structural zone extending across Newfoundland. These regionally extensive fault zones are deep crustal sutures which localize deformation and fluid flow and host orogenic-style gold bearing quartz veins and stockwork zones.