Lode Gold Closes Financing - $790,186 to Advance California and Yukon Projects
Rhea-AI Summary
Lode Gold Resources (TSXV: LOD) (OTCQB: LODFF) has successfully closed the first tranche of its non-brokered private placement, raising $790,186 through the issuance of 4,389,922 Units at $0.18 per Unit. Each Unit includes one common share and one purchase warrant exercisable at $0.35 for three years.
The funds will support the company's 2025 business plan, including:
- Yukon operations: Field work, geological mapping, soil sampling, and channel sampling for drill target development
- California's Fremont project: Completion of 2025 Preliminary Economic Assessment (PEA) for bulk mining, underground channel sampling for resource upgrade, and advancement toward pre-feasibility study (PFS)
The company has extended the closing date to April 30, 2025, for the second tranche. An acceleration clause allows for early warrant expiry if shares trade at $0.65+ for 10 days.
Positive
- Secured $790,186 in fresh capital for project advancement
- Warrant exercise at $0.35 could provide additional future funding
- Progressing toward PEA and PFS milestones at Fremont project
Negative
- Dilutive financing at $0.18 per unit
- Additional dilution possible with second tranche closing
- Warrant acceleration clause may pressure share price to maintain $0.65 level
News Market Reaction
On the day this news was published, LODFF declined 0.29%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Toronto, Ontario--(Newsfile Corp. - April 15, 2025) - Lode Gold Resources Inc. (TSXV: LOD) (OTCQB: LODFF) ("Lode Gold" or the "Company") is pleased to announce that it has closed on its first tranche of its non-brokered private placement offering. The Company has raised
Each
Lode Gold is extending the closing date of its private placement to April 30, 2025, for the second tranche. The Company may sell additional Units in the offering in one or more subsequent closings, on or before this date. Closing of the offering is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including acceptance by the TSX-V.
The Units were offered by way of private placement pursuant to exemptions from prospectus requirements and in accordance with National Instrument 45-106, Prospectus Exemptions. All securities issued in this closing are subject to a four month hold period, in accordance with applicable securities laws and the policies of the TSX Venture Exchange.
About Lode Gold
Lode Gold (TSXV: LOD) is an exploration and development company with projects in highly prospective and safe mining jurisdictions in Canada and the United States. In Canada, its Golden Culvert and WIN Projects in Yukon, covering 99.5 km2 across a 27-km strike length, are situated in a district-scale, high grade gold mineralized trend within the southern portion of the Tombstone Gold Belt. A total of four RIRGS targets have been confirmed on the property. A NI 43-101 technical report has been completed in May 2024.
In New Brunswick, Lode Gold has created one of the largest land packages with its Acadian Gold JV Co; consisting of an area that spans 445 km2 and a 44 km strike. McIntyre Brook covers 111 km2 and a 17-km strike in the emerging Appalachian/Iapetus Gold Belt; it is hosted by orogenic rocks of similar age and structure as New Found Gold's Queensway Project. Riley Brook is a 335 km2 package covering a 26 km strike of Wapske formation with its numerous felsic units. A NI 43-101 technical report has been completed in August 2024.
In the United States, the Company is advancing its Fremont Gold project. This is a brownfield project with over 43,000 m drilled and 23 km of underground workings. It was previously mined at 10.7 g/t Au in the 1930's. Mining was halted in 1942 due the gold mining prohibition in World War Two (WWII) just as it was ramping up production. Unlike typical brownfield projects that are mined out; only
Previously, in March 2023, the company completed an NI 43-101 Preliminary Economic Assessment ("PEA") for the Fremont Gold project. A sensitivity to the March 31, 2023 PEA at USD
ON BEHALF OF THE COMPANY
Wendy T. Chan
CEO & Director
Information Contact
Winfield Ding
CFO
info@lode-gold.com
+1-(604)-977-GOLD (4653)
Kevin Shum
Investor Relations
kevin@lode-gold.com
+1 (604) -977-GOLD (4653)
Cautionary Note Related to this News Release and Figures
This news release contains information about adjacent properties on which the Company has no right to explore or mine. Readers are cautioned that mineral deposits on adjacent properties are not indicative of mineral deposits on the Company's properties.
Cautionary Statement Regarding Forward-Looking Information
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release includes "forward-looking statements" and "forward-looking information" within the meaning of Canadian securities legislation. All statements included in this news release, other than statements of historical fact, are forward-looking statements including, without limitation, statements with respect to the completion of the transaction and the timing thereof, the expected benefits of the transaction to shareholders of the Company, the structure, terms and conditions of the transaction and the execution of a definitive agreement, the timing of submission to the CSE and TSXV, Gold Orogen raising an additional
Forward-looking statements are based on a number of assumptions and estimates that, while considered reasonable by management based on the business and markets in which the Company operates, are inherently subject to significant operational, economic, and competitive uncertainties, risks and contingencies. These include assumptions regarding, among other things: that the Company and GRM will be able to negotiate the definitive agreement on the terms and within the time frame expected, that the Company and GRM will be able to make submissions to the CSE and TSXV within the time frame expected, that the Company and GRM will be able to obtain shareholder approval for the transaction, that the Company and GRM will be able to obtain necessary third party and regulatory approvals required for the transaction, if completed, that the transaction will provide the expected benefits to the Company and its shareholders.
There can be no assurance that forward-looking statements will prove to be accurate and actual results, and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations include adverse market conditions, general economic, market or business risks, unanticipated costs, the failure of the Company and GRM to negotiate the definitive agreement on the terms and conditions and within the timeframe expected, the failure of the Company and GRM to make submissions to the CSE and TSXV within the timeframe expected, the failure of the Company and GRM to obtain shareholder approval for the transaction, the failure of the Company and GRM to obtain all necessary approvals for the transaction, and r other risks detailed from time to time in the filings made by the Company with securities regulators, including those described under the heading "Risks and Uncertainties" in the Company's most recently filed MD&A. The Company does not undertake to update or revise any forward-looking statements, except in accordance with applicable law.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/248662
FAQ
How much did Lode Gold Resources (LODFF) raise in its first tranche private placement?
What are the terms of LODFF's warrant offering in the April 2025 financing?
How will LODFF use the funds from its 2025 private placement?
When does Lode Gold's (LODFF) second tranche financing close?
