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Midway Gold
warrants exercised debt retired
Midway Gold Corp.
(Midway) is pleased to report that investors of the November 2008 private
placement have fully exercised their share purchase warrants and the Company
has issued 12,500,000 common shares pursuant to the exercise of share
purchase warrants at a price of $0.28 per share for proceeds of
$3,500,000. Parts of the proceeds
from the warrants were used to pay in full a $1,000,000 promissory note and
accrued interest.
After retiring the
debt, Midway has approximately $3.5 million cash on hand, allowing the Company to complete
resource updates on the Golden Eagle project in the Republic district in
Washington and the Pan project on the Eureka gold trend in Nevada. Permitting
and mine design work is continuing on the Midway project. A possible update
of the historic resource at the Gold Rock project, near Pan is also being
considered. Two drills, funded by
the partner, are currently working on the Spring Valley joint venture. The
Company is fully funded to complete these plans through the end of the year.
ON BEHALF OF THE BOARD
Alan Branham
______________________________
Alan Branham,
President and CEO
For
further information, please contact R.J. Smith at Midway
Gold Corp. at (877) 475-3642 (toll-free).
The TSX Venture Exchange has not
reviewed and does not accept responsibility for the adequacy or accuracy of
this release. This press release contains forward-looking statements about
the Company and its business. Forward looking statements are statements that
are not historical facts and include resource estimates. The forward-looking
statements in this press release are subject to various risks, uncertainties
and other factors that could cause the Company's actual results or
achievements to differ materially from those expressed in or implied by
forward looking statements. These risks, uncertainties and other factors
include, without limitation risks related to fluctuations in gold prices;
uncertainties related to raising sufficient financing to fund the planned
work in a timely manner and on acceptable terms; changes in planned work
resulting from weather, logistical, technical or other factors; the
possibility that results of work will not fulfill expectations and realize
the perceived potential of the Company's properties; uncertainties involved
in the interpretation of drilling results and other tests and the estimation
of gold resources; the possibility that required permits may not be obtained
on a timely manner or at all; the possibility that capital and operating
costs may be higher than currently estimated and may preclude commercial
development or render operations uneconomic; the possibility that the
estimated recovery rates may not be achieved; risk of accidents, equipment
breakdowns and labor disputes or other unanticipated difficulties or
interruptions; the possibility of cost overruns or unanticipated expenses in
the work program; and other factors identified in the Company's SEC filings
and its filings with Canadian securities regulatory authorities.
Forward-looking statements are based on the beliefs, opinions and
expectations of the Company's management at the time they are made, and other
than as required by applicable securities laws, the Company does not assume
any obligation to update its forward-looking statements if those beliefs,
opinions or expectations, or other circumstances, should change.
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