TORONTO, May 10, 2012 /CNW/ - Atlanta Gold Inc. (TSXV: ATG; OTCQX: ATLDF) announced that it has entered into an agreement pursuant to which the Company will issue 4,000,000 common shares at a deemed price of $0.05 per share to settle outstanding debts relating to finders' fees payable in connection with the Company's $3 million 6% convertible debenture financing that closed in December 2011.

The issuance of the shares is subject to approval of the TSX Venture Exchange.

About the Company

Atlanta Gold Inc. holds through its 100% owned subsidiary, Atlanta Gold Corporation, leases, options or ownership interests in its Atlanta properties which comprise approximately 2,159 acres (8.74 square kilometers) located 90 air kilometers east of Boise, in Elmore County, Idaho. A long history of mining makes Atlanta very suitable for development of new mining projects.  The Company is focused on advancing its core asset, Atlanta, towards mine development and production.

Forward-Looking Information

This news release contains forward-looking information and forward-looking statements (collectively "forward-looking statements") within the meaning of applicable securities laws with respect to the issuance of the shares. This statement is based upon the assumption that the Company will receive TSX Venture Exchange approval for the issuance of the shares, and is made as of the date hereof.  The Company undertakes no obligation to update publicly or revise any forward-looking statements contained herein whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

 

SOURCE Atlanta Gold Inc.

Copyright 2012 Canada NewsWire

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