Nxgold raises $4.1 million next on ground proximal to Dunnedin’s Kahuna project and the development-stage Meliadine gold project of Agnico Eagle Mines Ltd.

VANCOUVER, BRITISH COLUMBIA–(Marketwired – Dec. 8, 2016) – NXGOLD LTD. (“NxGold Ltd.” or the “Company”), (TSX VENTURE:NXN) is pleased to announce that it has received subscriptions for 16,640,600 units (for aggregate gross proceeds of approximately $4.1 million), to be issued and sold pursuant to a non-brokered private placement (the “Offering”).Each unit will consist of one common share of the Company (each, a “Share”) and one-half of one common share purchase warrant (each whole warrant, a “Warrant”) and will be issued at a price of $0.25. Each Warrant will be exercisable to purchase one additional Share at a price of $0.50 for a period of 36 months following the date of closing of the Offering (the “Expiry Date”).

If, at any time after the expiry of the hold period referred to below, to which the Shares and the Warrants will be subject, the closing price of the Shares on the principal market on which the Shares trade is equal to or greater than $0.75 for a period of 20 consecutive trading days, the Company may accelerate the expiry of the Warrants, in which event the Expiry Date shall be the date (the “Accelerated Expiry Date”) which is 30 days following the dissemination of a news release by the Company announcing the Accelerated Expiry Date.