RICHMOND, BC, Dec. 7 /CNW Telbec/ - Tagish Lake Gold Corp. (TSX-V: TLG) ("Tagish") announces that it is undertaking a flow-through private placement of a maximum of S2.5 million at a subscription price of C$0.26 per unit. Each unit consists of one common share in the capital of the Company and one-half of one non-transferable common share warrant. Each whole warrant entitles the holder to acquire one additional non flow-through common share at a price of C$0.32 per share for eighteen (18) months from the date of issuance.
These funds will be used for eligible Canadian Exploration Expenses ("CEE") as defined in subsection 66.1(6) of the Income Tax Act (Canada) on Tagish's Skukum Creek property. As previously announced (See news release of December 5, 2006), the Company is embarking on the next phase of work leading to feasibility at Skukum Creek.
In connection with the financing, the Company will pay eligible registrants a finders' fees of 8% in cash or shares, and grant finders' warrants equal to 8% of the Units subscribed on terms similar to those described above.
All securities issued will be subject to a four month hold period in accordance with the rules and policies of the TSX Venture Exchange and applicable Canadian securities laws.
About Tagish Lake Gold Corp.
Tagish Lake Gold Corp. explores for and develops high grade gold-silver mineral deposits in the Yukon Territory of Canada. The Company is currently focused on its wholly owned, 178 km(2) Skukum Mineral District located 80 km by road south of Whitehorse. The Skukum Mineral District hosts the Skukum Creek gold-silver deposit and the Goddell Gully gold deposit, with a currently defined measured plus indicated resource of 1,120,000 tonnes grading 8.0 g/t Au and 153.1 g/t Ag (MineTech International Ltd., June 2003 available on Sedar), and the Mt. Skukum gold deposit.
THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY
OR ACCURACY OF THIS NEWS RELEASE.
This news release includes certain forward looking statements in respect to various issues including upcoming events. These forward looking statements are based upon current expectations which involve risks and uncertainties that could cause actual outcomes and results to differ materially. Mineral exploration is subject to a high degree of risk, which even a combination of experience, knowledge, and careful evaluation may fail to overcome. Exploration activities seldom result in the discovery of a commercially viable mineral resource. Exploration activities are also expensive. The Company will therefore require additional financing to carry on its business, and such financing may not be available when it is needed. The Company disclaims any obligation to revise any forward looking statements as a result of information received after the fact or regarding future events.