Coniagas Resources Limited - Private placement financing closes

TORONTO, May 8 /CNW/ - Coniagas Resources Limited ("Coniagas" or the "Company") (TSX-V: "CNY") announces that it has closed the previously announced private placement of $1,200,000 through the sale of 3,000,000 units ("the Units") at a price of $0.40 per Unit. Each Unit consists of one common share and one-half of a 2 year common share purchase warrant. Each whole warrant entitles the holder to purchase one common share for $0.50 in the first year following Closing and for $0.60 in the second year following Closing after which they expire. The securities issued under the private placement are subject to a four (4) month hold period, expiring on September 8, 2007. The proceeds from the private placement will be used for technical evaluations of possible acquisitions of mineral exploration projects and for general corporate purposes.

In connection with this private placement Coniagas issued 87,500 compensation warrants (equal to 5% of the number of Units sold) to certain arm's length persons by way of finder's fees. Each Compensation Warrant entitles the holder to purchase for $0.40 one Unit consisting of one common share of the Company and one-half a common share purchase warrant entitling the holder to purchase one additional common share of the Company for $0.50 in the first year following Closing and for $0.60 in the second year following Closing after which they expire.

The TSX Venture Exchange has not reviewed and does not accept

responsibility for the adequacy or accuracy of the content of this

release.

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