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White Gold Announces Closing of Fully Subscribed $4.4 Million Private Placement
TORONTO, Dec. 19, 2022 (GLOBE NEWSWIRE) -- White Gold Corp. (TSX.V: WGO, OTCQX: WHGOF, FRA: 29W) (the “Company” or “White Gold”) is pleased to announce the clos
About this update from White Gold Corp.
[{"type":"text","content":" TORONTO, Dec. 19, 2022 (GLOBE NEWSWIRE) -- White Gold Corp. (TSX.V: WGO, OTCQX: WHGOF, FRA: 29W) (the “Company” or “White Gold”) is pleased to announce the closing of a non-brokered private placement for aggregate gross proceeds of approximately $4.4 million (the “Offering”). Agnico Eagle Mines Limited (“Agnico”) participated in the offering in order to maintain its partially-diluted ownership in the Company at 19.8%. The Offering consisted of the sale of: (i) 1,885,000 common shares in the capital of the Company (the “Common Shares”) at a price of $0.38 per Common Share; and (ii) 9,025,780 Common Shares issued on a “flow-through basis” (the “FT Shares” and together with the Common Shares, the “Offered Shares”) at a price of $0.41 per FT Share. “We are very grateful for the continued support of Agnico and our other shareholders and are now financed for what we hope to be another exciting and impactful exploration program in 2023 following the encouraging success of this past season. We have now considerably extended the known mineralized zone at the Betty Ford target, which is in close proximity to large gold and copper deposits and are excited to further explore this prospective property. We also look forward to continuing to advance our robust property pipeline for potential new discoveries and to further demonstrate the expansiveness of gold mineralization in the under-explored White Gold district and the effectiveness of our scientific, data-driven exploration methodologies,” stated David D’Onofrio, Chief Executive Officer. Pursuant to an investor rights agreement between the Company and Agnico dated December 13, 2016, Agnico maintained its pro rata ownership interest in the Company of 19.8%, on a partially-diluted basis following the completion of the Offering, by acquiring 1,885,000 Common Shares under the Offering. The gross proceeds received from the sale of the FT Shares will be used to incur “Canadian exploration expenses” as defined in subsection 66.1(6) of the Income Tax Act (Canada) (“Tax Act”) on the Company’s properties in the White Gold District of the Yukon Territory and renounced to subscribers in the Offering with an effective date no later than December 31, 2022. Such Canadian exploration expenses will also qualify as “flow-through mining expenditures” as defined in subsection 127(9) of the Tax Act. The net ...