Linear Gold Corp (C:LRR)
Shares Issued 27,917,980
Last Close 3/12/2009 $1.01
Friday March 13 2009 - News Release

Mr. Wade Dawe reports

LINEAR GOLD CORP. ANNOUNCES $5,000,000 FINANCING

Linear Gold Corp. has negotiated, subject to regulatory approval, a non-brokered private placement with Sprott Asset Management, consisting of 4,545,455 units at a price of $1.10 per unit. Each unit will consist of one common share and one-half warrant, with each whole warrant entitling the holder to purchase an additional common share at a price of $1.50 per share for a period of 24 months from the closing of the offering, which is anticipated to occur on or about March 19, 2009, and is subject to receipt of applicable regulatory approvals, including approval of the Toronto Stock Exchange.

The proceeds from the private placement will be used for working capital, and to finance the acquisition, exploration and development of high-quality gold-focused assets.

Wade K. Dawe, president and chief executive officer of Linear Gold, states: "We are delighted to further strengthen Linear's balance sheet as the corporation continues to review potential acquisitions, focusing on high-quality, advanced gold exploration and development opportunities. Upon completion of this private placement, Linear Gold will be debt free with approximately $30-million in cash with 32.5 million shares outstanding, positioning the company extremely well for strategic acquisitions."