PriceSensitive

EnGold Mines (TSXV:EGM) announces non-brokered flow-through financing and capital consolidation

Mining
TSXV:EGM
25 May 2021 12:00 (EDT)

EnGold Mines (EGM) has arranged an $8 million non-brokered private placement of flow-through units.

The financing is subject to a consolidation of capital on a 10 for 1 basis. EnGold has 256,465,446 common shares issued and outstanding. Upon completion of the consolidation, the company is expected to have approximately 25,646,544 common shares outstanding.

On a post-consolidation basis, the company will issue 16,000,000 units at a price of $0.50 per unit. Each unit will consist of one flow-through share and one-half of one warrant. Each whole warrant will entitle the holder to purchase one common share at a price of $0.75 for a period of two years.

Proceeds from the financing will be used to explore EnGold’s Lac La Hache Copper-Gold Project in the Cariboo region of BC.

The financing and share consolidation are subject to shareholder and TSX Venture Exchange approval. 

EnGold is a Vancouver-based copper, gold, silver, magnetite exploration company focused solely on its 100% owned Lac La Hache property in the Cariboo region of BC.

EnGold Mines Ltd. (EGM) is down 18.18 per cent, trading at C$0.045 per share at 12 pm ET.

Related News