VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb. 20, 2014) - Valterra Resource Corporation ("Valterra") (TSX VENTURE:VQA)(FRANKFURT:3VA) has completed the first tranche of its previously announced private placement by issuing 3,105,000 units at a price of $0.05 per unit for gross proceeds of $155,250. Each unit consists of one common share and one share purchase warrant, with each warrant exercisable to purchase one additional common share at an exercise price of $0.05 for a period of 3 years. All securities issued in this tranche of the financing include a legend restricting trading of the securities until June 21, 2014. The private placement is subject to TSX Venture Exchange acceptance.

Proceeds from the private placement will be used for working capital and exploration expenses incurred on the Bobcaygeon Graphite Property located in southern Ontario. Recent exploration has generated high-grade, high-purity, flake graphite drill targets from shallow trenching and ground geophysics. One prospective anomaly covers an 800m x 400m area; being co-incident with the Discovery Zone and remains open for expansion. A Phase I drill program totaling up to 2,500m is proposed for early 2014 to extend the Discovery Zone and test new targets.

Debt Settlement

Valterra also announces that it has entered into a debt settlement agreement with a creditor to settle a debt of $54,282.50 by payment of $15,000 cash and by the issuance of 785,650 units at a price of $0.05 per unit. Each unit is comprised of one common share and one share purchase warrant, with each warrant exercisable to purchase an additional common share for a period of 3 years at a price of $0.05 per share. This debt settlement is subject to TSX Venture Exchange acceptance. The securities that will be issued upon this debt settlement will be subject to a hold period of four months and one day from issuance.

Insider Acquisition

Lawrence Page, Q.C. of Suite 1100, 1199 West Hastings Street, Vancouver, B.C., together with Manex Resource Group Inc., Manex Investments Inc. and Lawrence Page Q.C. Law Corporation, companies at the same address as Mr. Page and over which Mr. Page exercises control and direction (collectively referred to as the "Shareholder") has acquired additional securities of Valterra. The Shareholder acquired 2,000,000 common shares and 2,000,000 warrants today in the above noted private placement.

Together with its previous holdings, the Shareholder now owns and controls 5,188,183 common shares of Valterra representing approximately 17.6% of the issued and outstanding common shares of Valterra. In addition to the units acquired in the private placement, the Shareholder holds options to purchase an aggregate 210,000 common shares and warrants to purchase 781,250 common shares all exercisable within 60 days, which if purchased and added to the present holdings of the Shareholder would represent a holding of 20.3% of the then issued and outstanding common shares of Valterra calculated on a partially diluted basis.