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Bullion Gold Discoveries Corp. (TSXV: BGD,OTC:TTEXF) ("Bullion" or the "Company") is pleased to announce that it has closed its previously announced non-brokered private placement (the "Offering"), raising gross proceeds of $2,000,000 through the issuance of 22,222,222 units of the Company (the "Units") at a price of $0.09 per Unit.
Each Unit consists of one common share of the Company and one-half of one common share purchase warrant (each whole warrant, a "Warrant"). Each Warrant entitles the holder to acquire one additional common share of the Company at a price of $0.15 per share for a period of 18 months from the closing date.
The Offering was oversubscribed and increased from the originally announced maximum size of $1.5 million due to strong investor demand.
Net proceeds from the Offering will be used primarily to fund the validation drilling campaign at the Company's 100%-owned Terragold Project near Senneterre, Québec, as well as related geological, technical and exploration activities. The program is designed to validate historical high-grade gold intersections identified through the Company's recent compilation of historical drilling data and 3D geological modelling.
In connection with the Offering, the Company paid cash finder's fees of $71,431 and issued 793,680 finder's warrants to eligible arm's-length parties in accordance with applicable securities laws and the policies of the TSX Venture Exchange. Each finder's warrant is exercisable to acquire one common share of the Company at a price of $0.15 per share for a period of 18 months from the closing date. PowerOne Capital Markets Limited acted as a finder in connection with a portion of the Offering.
Certain directors and officers of the Company (the "Insiders") purchased, directly and indirectly, 427,778 Units for aggregate consideration of $38,500. The participation of the Insiders in the Offering constitutes a related party transaction under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101") but is exempt from the formal valuation and minority approval requirements pursuant to Sections 5.5(a) and 5.7(1)(a) of MI 61-101 as neither the fair market value of the securities issued to, nor the consideration paid by, the insiders exceeded 25% of the Company's market capitalization. The Company did not file a material change report with respect to the participation of the Insiders at least 21 days prior to the closing of the Offering as the insider participation was not determined at that time.
All securities issued pursuant to the Offering are subject to a statutory hold period expiring four months and one day from the closing date, in accordance with applicable securities legislation.
The Offering remains subject to final acceptance of the TSX Venture Exchange.
About Bullion Gold Discoveries Corp.
Bullion Gold Discoveries Corp. (TSXV: BGD,OTC:TTEXF) is a Québec-focused mineral exploration company advancing a portfolio of gold and polymetallic projects located in some of the province's most prospective mining districts. The Company's strategy is centered on creating shareholder value through discovery success by applying modern geological interpretation, disciplined exploration practices and strategic partnerships.
The Company holds a 100% interest in the Terragold (Au), Langlade (Cu, Zn, Au, Ag), and Bodo (Cu, Zn, Au, Ag) projects. The Bousquet (Au) project is under option to Olympio Metals (ASX: OLY).
A new corporate website is currently under construction and is expected to be launched shortly.
For further information, please contact:
Simon Britt
President and CEO
Bullion Gold Discoveries Corp.
sbritt@bulliongold.ca
Cautionary Note Regarding Forward-Looking Statements
This news release includes certain information and statements that may constitute "forward-looking information". Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "continues", "forecasts", "projects", "predicts", "intends", "anticipates", "aims", "targets" or "believes", or variations of, or the negatives of, such words and phrases or state that certain actions, events or results "may", "could", "would", "should", "might" or "will" be taken, occur or be achieved. Inherent in forward-looking statements are risks, uncertainties and other factors beyond the Company's ability to predict or control. All statements, other than statements of historical facts, included in this news release that address future events, developments or performance that Bullion expects to occur are forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/301807
