Taiga Closes 750,000 First Tranche of Financing
Cranbrook, BC (FSCwire) - Taiga Gold Corp (CSE: “TGC”) (the “Company”) announces that it has closed the first tranche of a non-brokered private placement to arms-length and non-arms-length investors which was comprised of 1,430,000 non-flow-through units for gross proceeds of $257,400 and 2,507,500 flow-through units for gross proceeds of $501,500. Total gross proceeds of the first tranche were $758,900.
Non-flow-through units were be sold at a price of $.18 CDN per unit, each unit consisting of a non-flow-through common share and one non-flow-through common share purchase warrant, each whole warrant exercisable at $.40 CDN for a 24 month period. Flow-through units were sold at a price of $.20 CDN per unit, each unit consisting of a flow-through common share and a non-flow-through common share purchase warrant, each whole warrant exercisable at $.40 CDN for a 24 month period.
The common share purchase warrants are subject to an accelerated expiry at the option of the Company if the published closing trade price of the common shares on the Canadian Securities Exchange (“CSE”) is greater than or equal to $.50 for any 10 consecutive trading days, in which event the holder may be given notice that the warrants will expire 30 days following the date of such notice. The common share purchase warrants may be exercised by the holder during the 30 day period between the notice and the expiration of the common share purchase warrants.
A 7% commission or finder’s fee will be paid to certain registered dealers or arms-length third parties in connection with in the financing.
Proceeds from the sale of units will be used to fund exploration of the company's various projects in Saskatchewan and for general working capital. Funds earmarked for exploration will qualify as Canadian exploration expenses as defined in the Income Tax Act and will be renounced for the 2018 taxation year.
Taiga was created through a plan of arrangement with Eagle Plains Resources Ltd. and owns 5 projects targeting gold in the area near the Seabee Gold Operation, owned and operated by SSR Mining Inc. (formerly Silver Standard Resources Inc.), (“SSRM”) (TSX: SSRM) (NASDAQ: SSRM). Taiga’s flagship property is named “Fisher” and is currently being explored by SSRM under option from Taiga (see details below). As announced by Eagle Plains on March 21st, 2018, SSRM is well underway on Phase 1 of an 18,000m drilling campaign within Fisher property boundaries and currently has two drills on site.
About Taiga Gold Corp
Based in Cranbrook, B.C., Taiga Gold Corp was created in April, 2018 by way of plan of arrangement and spun-off from Eagle Plains Resources Ltd. (TSX-V:EPL) on a one-for-two share basis to the shareholders of Eagle Plains. As part of the spinout transaction Eagle Plains currently holds approximately 19.9% of the total common shares of Taiga Gold Corp.
Taiga Gold Corp will focus on the exploration and development of its gold projects located adjacent to SSR Mining’s Seabee Gold Operation and along the Tabbernor Fault structure in eastern Saskatchewan, a highly-prospective mining jurisdiction which was recently recognized by the Fraser Institute as the second best place in the world in terms of Investment Attractiveness. Throughout the exploration and development process, our mission is to help maintain prosperous communities by exploring for and discovering resource opportunities while building lasting relationships through honest and respectful business practices.
On behalf of the Board of Directors
“Tim J. Termuende”
President and CEO
For further information on TGC, please contact Mike Labach at
1 866 HUNT ORE (486 8673)
Cautionary Note Regarding Forward-Looking Statements
Neither the CSE nor any other regulatory body has reviewed or approved the contents of this news release. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming financings, work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.
Source: Taiga Gold Corp. (CSE:TGC)
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