American Bonanza Announces $255,000 Private Placement

American Bonanza Gold reports that it has completed a non-brokered private placement of 1,594,500.

Most of the private placement was subscribed for by Directors and Insiders on the terms set forth above and such participation was approved by the independent directors of Bonanza.

All securities issued in connection with the private placement are subject to a four month hold period expiring October 16, 2010. The proceeds from this financing will be used primarily to fund ongoing exploration at Bonanza’s projects in Quebec and Ontario.

For complete news release, click here.

For American Bonanza’s company profile, click here.