HANSTONE GOLD ANNOUNCES PRIVATE PLACEMENT, $4 Million
Hanstone Gold arranges $4-million private placement
2021-07-08 10:45 ET - News Release
Mr. Ray Marks reports
HANSTONE GOLD ANNOUNCES PRIVATE PLACEMENT FINANCING
Hanstone Gold Corp. will conduct a non-brokered private placement for aggregate gross proceeds of up to $4-million, consisting of: (i) units of the company at a price of 40 cents per unit; and (ii) flow-through units of the company at a price of 44 cents per flow-through unit.
Each Unit will be comprised of one common share of the Company (a "Common Share") and one Common Share purchase warrant (a "Warrant"). Each FT Unit shall consist of one Common Share of the Company which will qualify as a "flow-through share" (within the meaning of the Income Tax Act (Canada)) (each, a "FT Common Share") and one Warrant. Each Warrant shall be exercisable to acquire one Common Share (a "Warrant Share") at a price of $0.47 per Warrant Share for a period of 24 months from the date of issuance.
The Company intends to use the net proceeds from the Offering for its continuing exploration drilling program, working capital requirements and other general corporate purposes. The gross proceeds received by the Company from the sale of the FT Units will be used to incur eligible "Canadian exploration expenses" ("CEE") that are "flow-through mining expenditures" (as such term is defined in the Income Tax Act (Canada)) related to the Company's Doc and Snip North projects. The Company will renounce such CEE to the purchasers of the FT Units with an effective date of no later than December 31, 2021.
The closing of the Offering is subject to the receipt of the approval of the TSX Venture Exchange. The Units and FT Units to be issued under the Offering will be offered by way of private placement in each of the provinces of Canada and such other jurisdictions as may be determined by the Company pursuant to applicable exemptions from the prospectus requirements under applicable securities laws. The securities issued under the Offering will have a hold period of four months and one day from the date of issuance.
The Company also wishes to note that Hanstone Gold Corp. has been invited to attend the 10th Annual Whistler Capital Conference at the Fairmont Chateau Whistler from July 9 - 11, 2021 as a presenting company.
Hosted by Capital Event Conferences, the event introduces selected growth-stage companies to active capital finance individuals through a day of scheduled one-on-one meetings. This is an opportunity for Hanstone to gain additional exposure amongst retail brokers, portfolio and fund managers, institutional investors, and high net worth/accredited investors.
Ray Marks, President and CEO of Hanstone Gold Corp., will be attending the event to meet the investors in attendance.
About Hanstone Gold
Hanstone is a precious and base metals explorer with its current focus on the Doc and Snip North Projects optimally located in the heart of the prolific mineralized area of British Columbia known as the Golden Triangle. The Golden Triangle is an area which hosts numerous producing and past-producing mines and several large deposits that are approaching potential development. The Company holds a 100% earn in option in the 1,704-hectare Doc Project and owns a 100% interest in the 3,336-hectare Snip North Project. Hanstone has a highly experienced team of industry professionals with a successful track record in the discovery of gold deposits and in developing mineral exploration projects through discovery to production.
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