Business
Veris Gold Corp. announces closing of offering
Toronto Stock Exchange: VG /NOT FOR DISSEMINATION INTO THE UNITED STATES OR THROU...
About this update from Volcanic Gold Mines Inc.
[{"type":"text","content":"\n\n\nToronto Stock Exchange: VG \n\n\n/NOT FOR DISSEMINATION INTO THE UNITED STATES OR THROUGH U.S. NEWSWIRE\n SERVICES/\n\n\nVANCOUVER, Dec. 2, 2013 /CNW/ - Veris Gold Corp. (\"Veris\" or the \"Company\") (TSX: VG) (OTCQB: YNGFF)\n (Frankfurt Xetra Exchange: NG6A) announces it has closed its previously announced offering (the\n \"Offering\") of units (the \"Units\") and flow-through units (the\n \"Flow-Through Units\") for aggregate gross proceeds of approximately\n $6,239,676.\n\n\nThe Company issued 8,488,780 Units at a price of C$0.405, with each Unit\n comprised of one common share of the Company (a \"Unit Share\") and one\n half of one common share purchase warrant (each whole warrant, a\n \"Warrant\"). Each Warrant has an exercise price of C$0.50 and entitles\n the holder thereof to acquire one common share of the Company for a\n period of thirty-six (36) months following the closing of the Offering.\n\n\nThe Company also issued 6,515,628 Flow-Through Units at a price of\n C$0.43 with each Flow-Through Unit comprised of one common share of the\n Company which qualifies as a \"flow-through share\" within the meaning of\n the Income Tax Act (Canada) (the \"Flow-Through Shares\") and one-half of one Warrant.\n\n\nThe Offering was conducted on a best efforts agency basis pursuant to an\n agency agreement between the Company and Secutor Capital Management\n Corporation (the \"Agent\"). The Company granted the Agent an\n over-allotment option to purchase up to 2,250,661 securities comprising\n of additional Units and Flow-Through Units, to cover over-allocations,\n if any, and for market stabilization purposes, such over-allotment\n option exercisable for a period of 30-days from the closing of the\n Offering.\n\n\nThe Company intends to use the proceeds of the Offering to (a) make\n payments under the forward gold purchase agreement to which the Company\n is a party, (b) upgrade and refurbish the dry mill equipment at its\n Jerritt Canyon mill operations, (c) complete the development of the\n underground mine facilities at the Saval 4 property, (d) fund\n exploration activities at the Company's Ketza River property from the\n gross proceeds from the sale of Flow-Through Units, (e) fund bonding\n related to future reclamation obligations, and (f) fund general working\n capital.\n\n\nThe Company has received conditional approva...