ALGOLD ANNOUNCES $4 MILLION BOUGHT DEAL OFFERING

- March 8th, 2017

Algold Resources Ltd. (TSXV:ALG) has entered into an agreement with Beacon Securities Ltd., as lead underwriter, on its own behalf and on behalf of a syndicate of underwriters, pursuant to which the underwriters shall purchase 20 million units in the capital of the corporation on a bought deal basis at a price of 20 cents per unit for aggregate gross proceeds to the corporation of $4-million.

Algold Resources Ltd. (TSXV:ALG) has entered into an agreement with Beacon Securities Ltd., as lead underwriter, on its own behalf and on behalf of a syndicate of underwriters, pursuant to which the underwriters shall purchase 20 million units in the capital of the corporation on a bought deal basis at a price of 20 cents per unit for aggregate gross proceeds to the corporation of $4-million.

Each unit will consist of one common share in the capital of the Corporation (a “Common Share”) and one half (1/2) of one common share purchase warrant (each whole common share purchase warrant, a “Warrant”) of the Corporation. Each Warrant will entitle the holder thereof to acquire one Common Share at a price of $0.30 for a period of 24 months from the Closing Date (as defined below). The Warrants may be accelerated by the Corporation, at its sole option, at any time in the event that the closing volume-weighted average price of the Common Shares on the TSX Venture Exchange, or such other exchange on which the Common Shares may primarily trade from time to time, is greater than or equal to $0.45 for a period of 20 consecutive trading days occurring no earlier than four months and one day from the Closing Date by giving notice to the holders thereof.

In addition, the Corporation has granted the Underwriters an option (the “Underwriters’ Option”), exercisable, in whole or in part by Beacon, on behalf of the Underwriters, giving notice to the Corporation at any time up to 48 hours prior to the Closing Date to sell up to an additional 3,000,000 Units at the Issue Price for additional gross proceeds of up to $600,000. In the event the Underwriters’ Option is exercised in full, the aggregate gross proceeds to the Corporation will be $4,600,000.

The closing of the Offering is expected to occur on or about March 30, 2017 (the “Closing Date”) and is subject to the completion of formal documentation and receipt of regulatory approval, including the approval of the TSX Venture Exchange. All securities issued in connection with the Offering will be subject to a four month hold period.

The net proceeds from the Offering will be used to carry out exploration drilling at the Company’s mineral properties and for working capital and general corporate purposes.

ABOUT ALGOLD

Algold Resources Ltd. is focused on the exploration and development of gold deposits in West Africa. The board of directors and management team are seasoned resource industry professionals with extensive experience in the exploration and development of world-class gold projects in Africa.

We seek Safe Harbor.

© 2017 Canjex Publishing Ltd.

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