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Lode Gold Closes $3.5 Million Financing and Strategic Alliance; Ready to Advance Properties in Yukon and New Brunswick
Toronto, Ontario--(Newsfile Corp. - October 9, 2024) - Lode Gold Resources Inc. (TSXV: LOD) (OTC...
About this update from Lode Gold Resources Inc
[{"type":"text","content":"Lode Gold Closes $3.5 Million Financing and Strategic Alliance; Ready to Advance Properties in Yukon and New BrunswickToronto, Ontario--(Newsfile Corp. - October 9, 2024) - Lode Gold Resources Inc. (TSXV: LOD) (OTCQB: SBMIF) (\"Lode Gold\" or the \"Company\") is pleased to announce it has obtained conditional approval from the TSXV and closed the transaction with Fancamp Exploration Ltd. (\"Fancamp\") pursuant to the definitive Investment Agreement for $3.5 million investment that the Company announced in its August 27, 2024 news release. $500,000 goes into the Company for subscription of 14,285,714 Special Warrants of the Company, each Special Warrant, at $0.035 per unit, upon completion of the Spin Out, will convert to one common share of Lode Gold and one 5-year Lode Gold share purchase warrant with an exercise price of $0.05 per share. If fully exercised, the warrant subscription proceeds will total an additional $714,286; $3,000,000 goes into the Company's wholly-owned subsidiary Gold Orogen, for 5,423,078 common shares or 19.9% of Gold Orogen. As part of the Investment Agreement, the Company has transferred its interests in the McIntyre Brook Property (111 km2) and Fancamp transferred its interests in the Riley Brook Property (309 km2), both located in New Brunswick, into a 50/50 joint venture between Gold Orogen and Fancamp, that is called Acadian Gold Corp. The Company has also transferred its interest in its Golden Culvert and WIN Property to Gold Orogen. Fancamp has become a key shareholder of Lode Gold and a 19.9% shareholder of Gold Orogen.Details of the transaction were disclosed in the Company's August 27, 2024 news release. The transaction remains subject to final acceptance of the TSX Venture Exchange. The proceeds from the Special Warrant financing will be used for general and administrative costs, including transaction costs, and on the Company's Fremont property. The Special Warrants and the securities acquired on conversion thereof are subject to a four-month hold period from the closing date under applicable Canadian securities laws.A copy of the Investment Agreement is available on the Company's profile on SEDAR+ (www.sedarplus.ca).About Lode GoldLode Gold (TSXV: LOD) is an exploration and development company with projects in highly prospective and safe mining jurisdictions in Canada and the United States.I...