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Gold & silver

Klondike Gold closes second tranche of C$3.8M private placement for Yukon exploration

In the second trance, the company issued 6.1 million flow-through units, each containing one flow-through share and one half warrant, at a price of C$0.30 per unit

Klondike Gold Corp (CVE:KG) (OTC:KDKGF) announced Tuesday that it has closed the second tranche of its C$3.8 million non-brokered private placement to fund continued exploration and development of its Yukon properties.

In the second trance, the company issued 6.1 million flow-through units, each containing one flow-through share and one half warrant, at a price of C$0.30 per unit. It also issued 1.5 million non-flow-through units at a price of C$0.25 per unit.

In connection with the completion of the Financing, Klondike paid finder's fees totalling $217,014.75 and has issued 70,000 compensation warrants.

READ: Klondike Gold upsizes placing to C$3.8M and raises C$1.55M in first tranche

The warrants are exercisable at a price of $0.45 per share until October 19, 2022, although the company can move up that date if its share price on the TSX Venture Exchange is equal to or greater than C$0.60 for a period of 10 consecutive trading days.

The securities offered in the private placement are subject to approval from the exchange and are subject to a four-month hold period.

"I would like to acknowledge and thank the company's shareholders for their continued financial support and long-term confidence,” CEO Peter Tallman said in a statement. “The company is well funded for its operations through 2021."

Klondike is a Vancouver-headquartered gold exploration company advancing its wholly-owned Klondike District gold project in Dawson City, Yukon.

Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com

Follow him on Twitter @andrew_kessel

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