Canadian Gold Corp. Closes First Tranche of Financing

Rhea-AI Summary

Canadian Gold Corp. (TSXV: CGC) has announced the initial closing of its private placement offering's first tranche. The company issued 2,631,579 flow-through shares at $0.19 per share, raising gross proceeds of $500,000. The company paid $12,000 in finders fees to eligible finders, and all securities are subject to a four-month hold period. The proceeds will be used for Canadian Exploration Expenditures (CEE) on the company's Canadian exploration projects.

Positive

• Secured $500,000 in financing through flow-through shares
• Funds allocated for Canadian exploration projects qualifying as CEE

Negative

• Share dilution through issuance of 2,631,579 new shares
• $12,000 in finders fees reducing net proceeds

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Toronto, Ontario--(Newsfile Corp. - December 13, 2024) - Canadian Gold Corp. (TSXV: CGC) ("Canadian Gold" or the "Company") is pleased to announce an initial first tranche closing of its private placement offering, by the issuance of 2,631,579 flow through shares at a price of $0.19 per share, for gross proceeds totalling $500,000.

In connection with this first tranche closing, the Company paid $12,000 in finders fees to eligible finders, and all securities issued are subject to a hold period of four months.

The proceeds from the issuance of flow through shares shall be incurred on the Company's Canadian exploration projects, qualifying as Canadian Exploration Expenditures (CEE).

For Further Information, Please Contact:

Michael Swistun, CFA
President & CEO
Canadian Gold Corp.
(204) 232-1373
info@canadiangoldcorp.com

About Canadian Gold Corp.

Canadian Gold Corp. is a Toronto-based mineral exploration and development company whose objective is to expand the high-grade gold resource at the past producing Tartan Mine, located in Flin Flon, Manitoba. The historic Tartan Mine currently has a 2017 indicated mineral resource estimate of 240,000 oz gold (1,180,000 tonnes at 6.32 g/t gold) and an inferred estimate of 37,000 oz gold (240,000 tonnes at 4.89 g/t gold). The Company also holds a 100% interest in greenfields exploration properties in Ontario and Quebec adjacent to some of Canada's largest gold mines and development projects, specifically, the Canadian Malartic Mine (QC), the Hemlo Mine (ON) and Hammond Reef Project (ON). The Company is 35% owned by Robert McEwen, who was the founder and CEO of Goldcorp and is Chairman and CEO of McEwen Mining.

CAUTION REGARDING FORWARD-LOOKING INFORMATION

This news release of the Company contains statements that constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause Canadian Gold's actual results, performance or achievements, or developments in the industry to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/233761

FAQ

How much did Canadian Gold Corp raise in its first tranche financing?

Canadian Gold Corp raised $500,000 through the issuance of 2,631,579 flow-through shares at $0.19 per share.

What is the hold period for Canadian Gold Corp's newly issued shares?

All securities issued in this private placement are subject to a hold period of four months.

How will Canadian Gold Corp use the proceeds from the flow-through shares?

The proceeds will be used for Canadian exploration projects, qualifying as Canadian Exploration Expenditures (CEE).

What was the price per share for Canadian Gold Corp's flow-through offering?

The flow-through shares were issued at a price of $0.19 per share.