/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES/
VANCOUVER, Feb. 13, 2018 /CNW/ - NxGold Ltd. (the
"Company") (TSX-V:NXN) is pleased to announce that it has appointed a syndicate of agents led by Red Cloud Klondike Strike
Inc. (the "Agent"), to sell by way of private placement, units (the "Units") of the Company for gross proceeds of
up to C$5,000,000 (the "Offering").
Each Unit is offered at a price of C$0.25 and will be comprised of one common share of the
Company and one common share purchase warrant (a "Warrant"), each Warrant entitling the holder thereof to acquire one
common share of the Company at a price of C$0.37 for a period of 24 months from the date of closing
of the Offering.
The Company has granted the Agent an option exercisable, in whole or in part, at any time up to 48 hours before the closing of
the Offering, to place up to an additional C$2,000,000 of Units. The net proceeds from the Units
shall be primarily used for exploration at the Company's Mt. Roe and Chicobi Projects and general working capital purposes.
The closing of the Offering is expected to occur on or about March 13, 2018 and is subject to
receipt of all necessary regulatory approvals. The Units, including all underlying securities thereof, and any broker warrants
issued with respect to the Offering will be subject to a four month hold period in accordance with applicable securities
laws.
This news release does not constitute an offer of securities for sale in the United States.
The securities being offered have not been, nor will they be, registered under the United States
Securities Act of 1933, as amended, and such securities may not be offered or sold within the
United States absent U.S. registration or an applicable exemption from U.S. registration requirements.
About NxGold
NxGold is a Vancouver-based exploration company. The Company owns 80% of the Mt. Roe gold project located in the Pilbara
region of Western Australia. The Company has also entered into an earn-in agreement with Meliadine Gold Ltd. to earn up to a
70% interest in the Kuulu Project (formerly known as the Peter Lake Gold Project) in Nunavut and
an earn-in agreement to earn up to a 100% interest in the Chicobi Project located within the prolific Abitibi Greenstone Belt in
Québec.
Neither TSX Venture Exchange nor its Regulations Services Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statement Regarding "Forward-Looking" Information.
This news release contains "forward-looking information" within the meaning of applicable Canadian securities
legislation. "Forward-looking information" includes, but is not limited to, statements with respect to activities, events or
developments that the Company expects or anticipates will or may occur in the future, including the receipt of regulatory
approval of the Offering, use of proceeds of the Offering , the size of the Offering and completion of the
Offering. Generally, but not always, forward-looking information and statements can be identified by the use of words such
as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or
the negative connotation thereof or variations of such words and phrases or state that certain actions, events or results "may",
"could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative connotation thereof.
Such forward-looking information and statements are based on numerous assumptions, including among others, that regulatory
approval to the Offering will be obtained, that general business and economic conditions will not change in a material adverse
manner, that financing will be available if and when needed and on reasonable terms, and that third party contractors, equipment
and supplies and governmental and other approvals required to conduct the Company's planned exploration activities will be
available on reasonable terms and in a timely manner. Although the assumptions made by the Company in providing forward-looking
information or making forward-looking statements are considered reasonable by management at the time, there can be no assurance
that such assumptions will prove to be accurate.
Forward-looking information and statements also involve known and unknown risks and uncertainties and other factors, which
may cause actual events or results in future periods to differ materially from any projections of future events or results
expressed or implied by such forward-looking information or statements, including, among others: negative operating cash flow and
dependence on third party financing, uncertainty of additional financing, no known mineral reserves or resources, reliance on key
management and other personnel, potential downturns in economic conditions, actual results of exploration activities being
different than anticipated, changes in exploration programs based upon results, and risks generally associated with the
mineral exploration industry, environmental risks, changes in laws and regulations, community relations and delays in obtaining
governmental or other approvals.
Although the Company has attempted to identify important factors that could cause actual results to differ materially from
those contained in the forward-looking information or implied by forward-looking information, there may be other factors that
cause results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking information and
statements will prove to be accurate, as actual results and future events could differ materially from those anticipated,
estimated or intended. Accordingly, readers should not place undue reliance on forward-looking statements or
information. The Company undertakes no obligation to update or reissue forward-looking information as a result of new
information or events except as required by applicable securities laws.
SOURCE NxGold Ltd.
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