Business
Gold Terra Announces Arrangement of a Non-Brokered Private Placement
Not for distribution to U.S. news wire services or dissemination in the United States. V...
About this update from Gold Terra Resource Corp.
[{"type":"text","content":"Gold Terra Announces Arrangement of a Non-Brokered Private PlacementNot for distribution to U.S. news wire services or dissemination in the United States.VANCOUVER, BC / ACCESSWIRE / November 7, 2022 / Gold Terra Resource Corp. (TSX-V:YGT; Frankfurt:TX0; OTCQX:YGTFF) (\"Gold Terra\" or the \"Company\") is pleased to announce the arrangement of a non-brokered private placement (the \"Offering\") for gross proceeds of $1,960,117 from the sale of (i) 6,020,585 flow-through shares of the Company (\"FT Share\") at a price of $0.20 per FT Share and (ii) 4,725,000 common shares of the Company (\"Common Shares\") at a price of $0.16 per Common Share.Gerald Panneton, Chairman & CEO, noted that \"These funds will allow Gold Terra to continue to advance its drilling on the Con Mine property under option from Newmont in Yellowknife, NWT. It follows the release of our updated NI 43-101 mineral resource report filed recently.\"The gross proceeds from the sale of the FT Shares will be used for expenditures which qualify as \"Canadian exploration expenses\" (\"CEE\") and \"flow-through mining expenditures\" both within the meaning of the Income Tax Act (Canada). The Company will renounce such CEE with an effective date of no later than December 31, 2022. The net proceeds from the sale of the Common Shares will be used for working capital and general corporate purposes.Directors and officers of Gold Terra are expected to participate in the Offering and will be issued an aggregate of 600,000 Common Shares. Such participation in the Offering will constitute a \"related party transaction\" as defined in Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"61-101\"). The Offering will be exempt from the formal valuation and minority shareholder approval requirements of 61-101 as neither the fair market value of the securities issued to related parties nor the consideration for such securities will exceed 25% of the Company's market capitalization. A material change report will be filed in connection with the participation of the directors and officers in the Offering less than 21 days in advance of the closing of the Offering, which the Company deems reasonable in the circumstances so as to be able to avail itself of potential financing opportunities and to complete the Offering in an expeditious ma...