(TheNewswire)
TheNewswire - October 1, 2020 - Golden Ridge Resources LTD. (TSXV:GLDN) (" Golden Ridge " or the " Company ") is pleased to announce effective September 30, 2020 it has closed its previously announced financing ( see news release of September 2, 2020 ) and issued 1,158,412 units of the Company on a flow-through basis (the " FT Units ") at a price of $0.29 per FT Unit for gross proceeds of $335,939 and further issued 2,672,000 units of the Company on a charity flow-through basis (the " Charity FT Units ") at a price of $0.32 per Charity FT Unit for gross proceeds of $855,040. The FT Units and the Charity FT Units are collectively referred to as the " Offered Securities ".
Each FT Unit and Charity FT Unit consists of one common share in the capital of the Company (a " Common Share ") issued on a flow-through basis under the Income Tax Act (Canada) (the " Tax Act ") and one-half of one common share purchase warrant (each whole warrant a " Warrant "). Each Warrant entitles the holder thereof to purchase one non-flow-through Common Share at an exercise price of $0.40 until September 30, 2022.
In connection with the Offering the Company has paid aggregate finders' fees of $35,757 in cash and issued 142,188 finders warrants (" Finder Warrant "). Each Finder Warrant entitles the holder to acquire one additional Common Share at a price of $0.40 per share on the same terms as the Warrants until September 30, 2022.
The gross proceeds from the sale of the FT Units and the Charity FT Units will be used by the Company to incur eligible Canadian exploration expenses that will qualify as flow-through mining expenditures as such terms are defined in the Tax Act related to the Company's projects in Canada. All qualifying expenditures will be renounced in favour of the subscribers of the FT Units and the Charity FT Units effective Dec. 31, 2020.
All Offered Securities issued pursuant to the Offering are subject to a statutory four month and one day hold period expiring on January 31, 2022.
The FT Units and the Charity FT Units have not been, and will not be, registered under the U.S. Securities Act or any U.S. state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or any applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws
About Golden Ridge
Golden Ridge is a TSX-V listed exploration company engaged in acquiring and advancing mineral properties located in British Columbia and Newfoundland . Golden Ridge owns a 100% interest in the 1,700-hectare Hank copper-gold-silver-lead-zinc property located in the Golden Triangle district, approximately 140 kilometres north of Stewart, British Columbia and has a portfolio of exploration projects in Newfoundland.
ON BEHALF OF THE BOARD OF DIRECTORS OF
"Mike Blady"
Mike Blady
President and Chief Executive Officer
For more information regarding this news release, please contact:
Mike Blady, CEO and Director
T: 250-717.3151
F: 250-717.1845
W: www.goldenridgeresources.com
Cautionary Note Regarding Forward-Looking Statements
Certain statements contained in this news release, constitute "forward-looking information" as such term is used in applicable Canadian securities laws. Forward-looking information is based on plans, expectations and estimates of management at the date the information is provided and is subject to certain factors and assumptions, including: that the Company's financial condition and development plans do not change as a result of unforeseen events, that the Company obtains required regulatory approvals, that the Company continues to maintain a good relationship with the local project communities. Forward-looking information is subject to a variety of risks and uncertainties and other factors that could cause plans, estimates and actual results to vary materially from those projected in such forward-looking information. Factors that could cause the forward-looking information in this news release to change or to be inaccurate include, but are not limited to, the risk that any of the assumptions referred to prove not to be valid or reliable, which could result in delays, or cessation in planned work, that the Company's financial condition and development plans change, delays in regulatory approval, risks associated with the interpretation of data, the geology, grade and continuity of mineral deposits, the possibility that results will not be consistent with the Company's expectations, as well as the other risks and uncertainties applicable to mineral exploration and development activities and to the Company as set forth in the Company's Management's Discussion and Analysis reports filed under the Company's profile at www.sedar.com . There can be no assurance that any forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader should not place any undue reliance on forward-looking information or statements. The Company undertakes no obligation to update forward-looking information or statements, other than as required by applicable law.
Neither the 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 .
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OR FOR DISSEMINATION IN THE UNITED STATES
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Figure 1 - Cross Section GNDD-530
