September 17, 2008 - Laurentian Goldfields Ltd. (TSX-V: LGF) ("Laurentian" or the "Company") announces an amendment to its interim financial statements and management discussion and analysis (MD&A) for its first quarter, ended June 30, 2008. This amendment was required to adjust the effect of an accounting error made in the Company's previous financial statements, for the year ended March 31, 2008, as well as the financial statements for the period ended June 30, 2008. The error was discovered subsequent to the SEDAR filing of the Company's financial statements and MD&A for the period ended June 30, 2008. Laurentian filed amended versions of these documents on SEDAR yesterday morning.
The financial statements for the period ended March 31, 2008 did not properly account for the future income tax effect which arose from the renunciation of expenses under the Company's 2007 flow through share issuances and the income tax losses and exploration expenditures which were incurred.
The correction of this error on the Company's March 31, 2008 financial statements had the following effects: an increase in Deficit by $388,887, an increase in Share Capital by $104,645, and an increase in Future Income Tax Liability by $284,242. These items are reflected in the comparative numbers on the amended June 30, 2008 Balance Sheet and the opening deficit figures used on the amended June 30, 2008 Statement of Loss, Comprehensive Loss, and Deficit.
After the incorporation of these revised opening balances and the re-calculation of future income taxes for the 3 month period ended June 30, 2008, the Company realized a recovery of future income taxes of $185,929 which reduced the Company's Future Income Tax Liability from $284,242 as at March 31, 2008 to $98,313 as at June 30, 2008 and reduced the Company's Net Loss from $276,920 ($0.03 per share) to $90,991 ($0.01 per share) for the period ended June 30, 2008.
This correction has no effect on the Company's cash and cash equivalents, or on the Company's total assets. In addition, there was no effect on the Company's 2007 flow through share issuances and renunciation of exploration expenditures.
For more information please go to the SEDAR website at www.sedar.com to view the Company's amended financial statements for the quarter ended June 30, 2008. The restatement discussed above is described specifically in Note 10 of the amended financial statements.
About Laurentian Goldfields Ltd.
Laurentian is a team of highly skilled exploration professionals focused on discovery and growth in under-explored regions of mining-friendly jurisdictions. The Company employs leading edge exploration concepts and techniques to quickly and cost-effectively screen vast tracts of land for geological and geochemical signatures known to be associated with world class gold deposits.
ON BEHALF OF THE BOARD OF DIRECTORS,
Andrew Brown, M.Sc., P.Geo., President and CEO
Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to future payments, expenditures and share issuances and exploration, development and production activities. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the timing of future payments, expenditures and share issuances and the timing and success of future exploration, development and production activities.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
For more information, please contact
Laurentian Goldfields Ltd.
Manager Corporate Communications
(604) 642-2411 (FAX)