Closes $1.92 million Financing /NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES/
TORONTO, Aug. 12, 2021 /CNW/ - Orford Mining Corp. ("Orford" or the "Company") (TSXV: ORM) is pleased to announce that it has closed the non-brokered private placement previously announced by news release dated July 15, 2021 for $1,500,000 and upsized to $1,920,000 on July 28, 2021. The non-brokered private placement consists of : (i) flow-through units (700,000 units) at an issue price of C$0.27 per unit, and (ii) hard dollar units (8.7 million units) at an issue price of C$0.20 per unit. (the "Offering"). Orford received aggregate gross proceeds of $1,919,849.20 from the Offering. Each flow-through unit consisted of one common share and one-half of a common share purchase warrant, each issued on a flow-through basis. Each hard dollar unit consisted of one common share and one-half of a common share purchase warrant. Each whole common share purchase warrant entitles the holder to purchase one common share of the Company for a period of three years at an exercise price of $0.31. Alamos Gold (AGI-TSX) participated in the financing at its pro-rata level of 23.03%.
Finders received compensation in respect of a portion of the financing consisting of an aggregate of C$72,000 in cash and 330,000 non-transferable finder's warrants. Each finder's warrant entitles the holder to purchase one common share of the Company for a period of two years at an exercise price of C$0.31.
Orford intends to use the proceeds of the Offering to explore its exploration properties, including the Qiqavik, McClure East and Joutel Omega properties in northern Quebec and for general corporate purposes. The board of directors of Orford Mining have approved an additional 500 metres to the previously approved 1,500 metre drill program on Qiqavik. The Qiqavik program will conclude in mid to early September. The Qiqavik project represents a new gold discovery in the Cape Smith Belt of Northern Quebec. The McClure East and Joutel Omega properties in the Joutel area of the Abitibi greenstone belt of northern Quebec.
The securities issued under the Offering will be subject to a hold period of four months plus a day expiring on December 13, 2021.
Alamos is acquiring the shares for investment purposes, which will be evaluated and increased or decreased from time to time at Alamos' discretion. A copy of the Alamos Early Warning Report will be available on SEDAR at https://www.sedar.com or can be requested by contacting Scott Parsons, Vice-President, Investor Relations, at SParsons@alamosgold.com, 416-368-9932 (ext 5439) or by mail at Brookfield Place, 181 Bay Street, Suite 3910, Toronto, Ontario M5J 2T3.