Mr. Peter Bernier reports

PROSPER GOLD CORP. CLOSES SECOND TRANCHE OF PRIVATE PLACEMENT

Prosper Gold Corp. has closed the second tranche of a private placement financing of common shares in the capital of the company that qualify as flow-through shares for the purposes of the Income Tax Act (Canada). The second tranche of the financing consisted of 1,818,182 flow-through shares at a price of 11 cents per flow-through share for gross proceeds to the company of $200,000.

In connection with the second tranche, the company paid $14,000 in cash and issued 127,272 common share purchase warrants to finders at closing. Each broker warrant is non-transferable and exercisable for one common share in the capital of the company for a period of 36 months following the date hereof at an exercise price of 20 cents.

Prosper Gold expects to use the net proceeds from the second tranche to finance exploration activities at the company's Cyprus project.

We seek Safe Harbor.