Business
NuLegacy Gold Closes $6.67 Million Strategic Investment by OceanaGold Corporation
RENO, NEVADA--(Marketwired - April 13, 2016) - NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES NuLegacy Gold Corporatio
About this update from Nulegacy Gold Corporation
[{"type":"text","content":"RENO, NEVADA--(Marketwired - April 13, 2016) - NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES NuLegacy Gold Corporation (TSX VENTURE:NUG)(OTCQX:NULGF) is pleased to announce the closing of the $6.67 million private placement financing announced April 7, 2016 (the \"Financing\") with the issue of 47,663,228 common shares of NuLegacy (the \"Purchased Shares\") at $0.14/share to OceanaGold Corporation (TSX:OGC)(ASX:OGC)(NZX:OGC) (\"OceanaGold\"). OceanaGold now owns approximately 19.9% of NuLegacy's issued and outstanding shares on an undiluted basis, prior to giving effect to any shares that may be purchased by Barrick Gold Corporation and/or Waterton Precious Metals Fund II Cayman, LP pursuant to their existing equity participation rights to maintain their equity ownership interests in NuLegacy (the \"Participation Rights\" as announced February 23, 2016 and August 18, 2014 respectively). Subject to Barrick Gold and/or Waterton exercising their respective Participation Rights, OceanaGold also has the option to purchase up to an additional 9,303,845 common shares at a price of $0.14 per share to a maximum of 19.9% of NuLegacy's issued and outstanding shares on a post-Financing basis. The Purchased Shares are subject to a hold period of four months and one day expiring August 14, 2016. Provided that OceanaGold holds not less than 5% of the then issued and outstanding common shares of NuLegacy it will have the right to nominate one director to NuLegacy's board, appoint one representative to NuLegacy's technical committee, participate in all future equity financings of shares or convertible securities to maintain and/or increase its then equity ownership interest in NuLegacy to 19.9%, and have the right of 'first offer to negotiate' should a joint venture be contemplated for the purposes of financing the Iceberg project. The proceeds of the Financing will be used for the further exploration of the Iceberg project and general corporate and working capital purposes. The 2016 exploration season is anticipated to start late-April/early-May. The Financing was not offered in the United States and has been conditionally accepted for filing by the TSX Venture Exchange. About NuLegacy: The Iceberg gold deposit has an established exploration target of 90-110 million tonnes of 0.9 to 1.1 grams of gold p...