Newrange Gold Corp has announced the closing of the first tranche of a non-brokered private placement for gross proceeds of $408,100 consisting of 5,830,332 non-flow-through (NFT) units at a price of $0.07 per unit.
Each NFT unit consists of one common share of the company and one-half share purchase warrant. Each NFT warrant entitles the holder to purchase one common share at an exercise price of $0.12 at any time until February 23, 2024.
Proceeds will be used for general working capital and for continued surface exploration on the Pamlico project in Nevada.
The company also announced a parallel non-brokered flow-through private placement for gross proceeds of up to $1.5 million consisting of 15,000,000 flow-through (FT) of the company at a price of $0.10 per FT unit.
READ: Newrange Gold kicks off drilling at its North Birch project near Red Lake, Ontario
Each FT unit consists of one common share of the company and one-half share purchase warrant. Each whole FT Warrant entitles the holder to purchase one common share at an exercise price of $0.12 at any time until February 23, 2024.
Proceeds will be used to advance the company's Argosy Gold Mine Project in the Red Lake Mining Division of Ontario. The FT financing and the second and final tranche of the NFT financing (approximately $100,000) are expected to close in approximately two weeks.
Cash finder's fees or commissions in the amount of $13,720 were paid on the first tranche of the NFT financing and the company issued 63,000 share purchase finders warrants. Each finders warrant entitles the holder to purchase one common share at an exercise price of $0.12 for a two-year period.
Insiders subscribed for an aggregate of 1,615,000 Units for a total of $113,050.
All securities issued are subject to a four-month hold period from the date of issuance and subject to TSX Venture Exchange approval. The securities offered have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements.
Newrange Gold is focused on district-scale exploration for precious metals in favorable jurisdictions including Nevada and Ontario. The company's Pamlico Project in Nevada contains a large-scale multi-phase polymetallic mineralizing system with multiple gold and copper targets spread over more than 5,700 hectares.
In the prolific Red Lake District of northwestern Ontario, the past-producing high-grade Argosy Gold Mine is open to depth, while the adjacent North Birch Project offers additional blue-sky potential. Focused on developing shareholder value through exploration and development of key projects, the company is committed to building sustainable value for all stakeholders.
Contact the author at jon.hopkins@proactiveinvestors.com