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VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 2, 2011) - Otis Gold Corp. ("Otis" or the "Company") (TSX VENTURE:OOO)(PINK SHEETS:OGLDF) is pleased to announce a non-brokered private placement of up to 4,300,000 units at a price of $0.70 per unit, for aggregate gross proceeds of up to CDN$3,010,000. Each unit will consist of one common share and one half share purchase warrant (each whole such purchase warrant being a "Warrant"). Each Warrant will be exercisable to purchase one common share of the Company for 18 months, at a price of $1.10 per share.


The net proceeds from this private placement will be used for general working capital purposes. Commissions or finder's fees may be paid to qualified entities up to the rates allowed by the TSX Venture Exchange. The financing is subject to the approval of the TSX Venture Exchange.



About the Company



Otis is a resource company focused on the acquisition, exploration, and development of precious metal deposits in Idaho. The Company is currently developing its flagship property, the Kilgore Gold Project, Clark County, Idaho and has several other gold, silver and base metal projects located in Idaho.


ON BEHALF OF THE BOARD


"Craig T. Lindsay"


President and CEO


The forward-looking information contained in this press release is made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.


This news release does not constitute an offer to sell or a solicitation of an offer to sell any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.




FOR FURTHER INFORMATION PLEASE CONTACT: Craig Lindsay
Otis Gold Corp.
604-683-2507
604-683-2506 (FAX)
[email protected]
http://www.otisgold.com/">www.otisgold.com