TORONTO, ONTARIO — (Marketwire) — 09/20/12 — Goldeye Explorations Limited (TSX VENTURE: GGY) previously announced that it proposes to complete a partially brokered private placement for gross proceeds of up to $4,450,000 through the sale of (i) up to 10,000,000 flow-through units at $0.15 per unit for a total of up to $1,500,000 (each unit consists of one flow-through common share and one-half of one common share purchase warrant) to be offered pursuant to the accredited investor and $150,000 exemptions in NI 45-106; (ii) up to 12,000,000 non flow-through units at $0.125 per unit for a total of up to $1,500,000 (each unit consists of one common share and one whole common share purchase warrant) to be offered pursuant to the accredited investor and $150,000 exemptions in NI 45-106; and (iii) up to 2,000,000 mixed units at $0.725 per unit for a total of up to $1,450,000 (each mixed unit consists of one common share at $0.125 per share, four flow-through common shares at $0.15 per share and three whole common share purchase warrants) to be offered in Ontario pursuant to the government incentive security exemption contained in OSC Rule 45-501. Each whole warrant entitles the holder to purchase one additional non flow-through common share for three years at a price of $0.20 per share. The TSX Venture Exchange has conditionally accepted the private placements.
Goldeye may pay 7% cash commissions and broker warrants equal to 10% of the number of units subscribed for. Each broker warrant will entitle the holder to purchase one additional non flow-through common share for three years at a price equal to the subscription price of the units. All of the securities will be subject to a four month hold period.
The proceeds of the flow-through financing will be used for mineral exploration on Goldeye-s Canadian mineral properties qualifying as Canadian Exploration Expense (CEE) under the Income Tax Act (Canada) enabling the subscriber to obtain applicable tax credits and deductions. The proceeds of the non-flow-through financing will be used to pay commissions and costs of the private placements and to pay for general and administrative expenses and working capital. In particular, the proceeds of the financings will be used to further explore high grade gold mineralization at Goldeye-s Tyrrell property.
Goldeye wishes to announce that it has, subject to acceptance by the TSX Venture Exchange, extended the closing of the private placements to October 19, 2012.
Goldeye would also like to advise that it will be exhibiting at Cambridge House International-s Toronto Resource Investment Conference being held on September 27 and 28, 2012 at the Sheraton Centre Toronto Hotel, 123 Queen Street West, Toronto, Ontario. Investors wishing to learn more about us may visit us at Booth 629.
ABOUT GOLDEYE
Goldeye is a Canadian gold-focused exploration company with properties in mineral rich, politically secure jurisdictions with long traditions of mining. In Canada, Goldeye holds Todd Property in British Columbia and the Tyrrell, Gold Rock and Sandy Lake properties in Ontario. In Chile, Goldeye has the Sonia-Puma property north of Santiago.
Goldeye will focus on getting full value from its portfolio of excellent gold projects. On the Tyrrell project, the high grade Big Dome zone will be defined and expanded, the Hanging Wall zone will be explored at depth and on strike and the Hydro Creek zone will be defined and expanded. With regard to the Sandy Lake project, upon signing the exploration agreement with the Sandy Lake First Nation, an aggressive program of geological mapping and geophysics will be started, to be followed by diamond drilling during the winter season. The Gold Rock project is drill ready and a winter drill program is being formulated. The Sonia project in Chile is also drill ready and Goldeye is presently looking for a partner to continue the exploration of this property.
On behalf of the board of directors of Goldeye Explorations Limited
Jorma Hannila, Chief Executive Officer
Shares Issued Prior to Financing: 19,019,645
Neither 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.
Contacts: Goldeye Explorations Limited Blaine Webster 416-315-9708
Goldeye Explorations Limited Jorma Hannila 905-886-2538 or 416-970-3324
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