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Japan Gold (TSXV:JG) closes C$17 million over-subscribed private placement

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TSXV:JG
09 July 2021 08:45 (EDT)
Japan Gold Corp - Chairman & CEO, John Proust

Source: Financial Post

Japan Gold (JG) has closed an upsized C$17 million non-brokered private placement.

The company issued 48,571,429 shares at a price of C$0.35 per share.

The net proceeds will be used to fund drill programs, drill targeting and advanced exploration at the company’s two wholly-owned projects, Ikutahara and Ohra-Takamine.

Japan Gold would like to recognize CIBC, Hannam & Partners and Red Cloud Securities for their support in completing the financing.

John Proust, the Company’s Chairman and CEO commented,

“With the closing of this financing, Japan Gold is well-capitalized to initiate new drill programs on its wholly owned Ikutahara Project in Hokkaido and Ohra-Takamine Project in southern Kyushu. I would like to thank investors for their overwhelming support. The high demand for this private placement is a testament to the quality of the assets and partnerships we have assembled, and the concurrent advancement of the country wide evaluation of 29 projects under the Barrick Alliance. We look forward to what we believe will be an exciting year ahead for our Company.”

The company paid a total of $1,010,688 in cash and issued a total of 2,887,679 compensation warrants in connection with the offering. The compensation warrants are exercisable at C$0.35 per common share for a period of 12 months from the date of closing.

The shares and compensation warrants will be subject to a hold period of four months, expiring on November 9, 2021.

Japan Gold is a Canadian mineral exploration company focused solely on gold exploration across the three largest islands of Japan: Hokkaido, Honshu and Kyushu.

Japan Gold Corp. (JG) opened trading at $0.345 per share.

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