| ||February 15, 2006|
Lund Arranges Non-Brokered Private Placement To Fund Brazilian Exploration Work
| ||Lund Gold Ltd. (TSX-V: LGD) is pleased to report that it has arranged, subject to regulatory approval, a non-brokered private placement of 7,500,000 units of Lund at price of $0.15 per unit to generate proceeds of $1,125,000 that will be used primarily to fund the initial phase of work on its Carneirinho Property in Tapajós region of north central Brazil. Each unit will consist of one share of Lund and one half of a non-transferable share purchase warrant, each whole entitling the purchase of an additional share of Lund at a price of $0.25 per share for a period of two years following the date of closing.|
The Tapajós region is generally regarded as the premier epithermal gold district in Brazil and the Carneirinho Property lies approximately 30 kilometres northwest of the Tocantinzinho Property currently being explored by Brazauro Resources Corp. Lund and its partner, Oromin Explorations Ltd. ("Oromin") hold an option to jointly acquire a 100% interest in the Carneirinho Property.
Lund and Oromin plan to initiate exploration activities as soon as crews can be mobilized to Carneirinho after completion of this private placement. The preliminary evaluation will include geological mapping, prospecting, channel sampling and auger drill sampling. Additional geophysics covering an area larger than previous ground surveys and core drilling will form the second phase program.
Lund is aggressively seeking out new properties that will be complimentary to Carneirinho in order to build shareholder value for Lund.
To find out more about Lund Gold Ltd. (TSX-V: LGD), visit our website at www.lundgold.com.
On behalf of the Board of Directors of
LUND GOLD LTD.
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY AND ACCURACY OF THIS RELEASE
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