Windstorm Resources Inc. Announces Close of First Tranche of Brokered Private Placement for Proceeds of $2,025,000 by 24hgold

News Release - Tuesday, February 15, 2011
Windstorm Announces Close of First Tranche of Brokered Private Placement for Proceeds of $2,025,000

NOT FOR DISTRIBUTION TO US NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
Windstorm Resources Inc. (TSX-V: WSR, "Windstorm" or "the Company") is pleased to announce that it has closed the first tranche of the brokered private placement announced in its news release dated January 20, 2011, and has issued 5,062,500 Units for gross proceeds of $2,025,000. Each Unit consists of one common share of Windstorm (a "Share") and one half of one common share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder thereof to purchase one Share at a price of $0.55 per Share until February 15, 2013. If, after the hold period expiring June 16, 2011, the volume weighted average price for the Company's shares is $1.00 or greater for a period of 15 consecutive trading days, then, on notice from the Company, the Warrant holders will have 20 days to exercise their Warrants; otherwise the Warrants will expire on the 21st day following the notice.

The Company paid Industrial Alliance Securities Inc. and Secutor Capital Management Corporation (together, the "Agent") the aggregate sum of $185,231.25 comprised of (a) the sum of $141,750 in payment of the 7 % cash commission; (b) the sum of $28,481.25 for out-of-pocket expenses of the Agents, including legal fees, and (c) the sum of $15,000 in payment of a corporate finance fee. In addition, the Company issued to the Agent 354,376 warrants (the "Agent Warrants") to acquire that number of Shares ("Agent Warrant Shares") equal to 7% of the Units sold under the Offering. Each Agent Warrant will be exercisable at $0.55 per Agent Warrant Share until February 15, 2013.

All securities issued in the closing of the first tranche will be subject to a hold period expiring June 16, 2011.

The proceeds from the Offering will be used by Windstorm for exploration expenditures on the Caldera property in Mexico and for working capital. The road accessible Caldera project was discovered by Almaden Minerals Ltd. (TSX: AMM; AMEX: AAU - "Almaden") in 2007 and lies at the eastern end of the Trans Mexican Volcanic Belt,10 km from Almaden's new Ixtaca Zone discovery on its Tuligtic property. Windstorm has the right to earn up to a 60% interest in the Caldera project by issuing 1,000,000 shares to Almaden and completing $5,000,000 in exploration work over six years.

About Windstorm Resources Inc.

Windstorm Resources is a new company focused on precious metals exploration in North America, led by an industry-renowned management team with technical expertise and market experience. Windstorm's Caldera project is highly prospective for the discovery of high sulphidation epithermal gold mineralized system with the potential to host a bulk tonnage gold deposit. Management will continue to evaluate quality drill-ready prospects aiming to build an attractive portfolio of gold and silver projects offering multiple opportunities for discovery success. Windstorm is a member of the Grosso Group, a management company specializing in resource exploration for over 18 years.

ON BEHALF OF THE BOARD

"Gerald Carlson"
_______________________________
Dr. Gerald Carlson, President & CEO

For further information please contact:

Corporate Communications
Tel: 1-604-687-1828
Toll-Free: 1-800-901-0058
Email: info@windstormresources.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Readers are encouraged to refer to the Company's public disclosure documents for a more detailed discussion of factors that may impact expected future results. The Company undertakes no obligation to publicly update or revise any forward-looking statements. We advise U.S. investors that the SEC's mining guidelines strictly prohibit information of this type in documents filed with the SEC. U.S. investors are cautioned that mineral deposits on adjacent properties are not indicative of mineral deposits on our properties.

The securities being offered have not been, nor will they be registered under the United States Securities Act of 1933, as amended, or state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. federal and state 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.

2011

SUBSCRIBE |
This email was sent to .com

Legends
	Production
	Mine development
	Discovery
	Exploration
	Past producer
On Google Earth, click on the button, to show property information, and access to project page or company page.