Business
Blackrock Gold Closes Oversubscribed $4.5 Million Private Placement
Vancouver, British Columbia--(Newsfile Corp. - June 5, 2020) - Blackrock Gold Corp. (TSXV:...
About this update from Blackrock Silver Corp
[{"type":"text","content":"Blackrock Gold Closes Oversubscribed $4.5 Million Private PlacementVancouver, British Columbia--(Newsfile Corp. - June 5, 2020) - Blackrock Gold Corp. (TSXV: BRC) (\"Blackrock\" or the \"Company\") is pleased to announce the completion of its oversubscribed non-brokered private placement (the \"Private Placement\") previously announced for $2.75 million on May 8, 2020, as subsequently increased to $4.5 million further to the Company's news release on May 19, 2020. The Company issued a total of 22,670,737 units (\"Unit\") at a price of $0.20 per Unit for gross proceeds of approximately $4,534,147. Each Unit consisted of one common share of the Company (\"Common Share\") and one-half of one common share purchase warrant (each whole warrant, a \"Warrant\"). Each Warrant entitles the holder to acquire one Common Share at an exercise price of $0.30 until June 4, 2023.Proceeds from the Private Placement will be used by the Company to fund a planned 7,000 metre RC drilling program (See news April 27, 2020) and evaluate historic mineralized mine dumps and tailings surface material (See news May 7, 2020) on the Company's Tonopah West property. In addition, the Company is to continue with its 2020 exploration program at the Silver Cloud property (see news January 10, 2020), with remaining proceeds to be used for general working capital.On closing, the Company paid a cash commission of $190,190, representing 7% of the proceeds raised in respect of a portion of the Private Placement, and 950,950 finder warrants (\"Finder Warrants\"), representing 7% of the Units placed by such finders. Each Finder Warrant entitles the holder to acquire one Common Share at an exercise price of $0.30 until June 4, 2023.The Common Shares, Warrants and Finder Warrants issued in connection with the Private Placement and the Common Shares issuable upon exercise of Warrants and Finder Warrants are subject to a hold period expiring October 5, 2020. The Private Placement is subject to final approval of the TSX Venture Exchange.One insider of the Company purchased or acquired direction and control over a total of 250,000 Units under the Private Placement. The placement to such person constitutes a \"related party transaction\" within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101 -Protection of Minority Security Holders in Special T...