TSX-V: VEIN | FSE: N071
TORONTO, April 27, 2017 /CNW/ - Enforcer Gold Corp.
("Enforcer" or the "Company") (TSX-V: VEIN – FSE: N071) is pleased
to announce that it has closed the second tranche of its previously
announced non-brokered private placement by issuing an additional
1,422,500 units ("Units") for gross proceeds of $284,500 and 7,340,000 "flow-through" common
shares (each a "FT Share") for gross proceeds of $1,835,000. Pursuant to the total Offering (see
the Company's news releases of April 24,
2017), the Company has issued an aggregate of 8,701,200
Units and 12,960,000 FT Shares for total gross proceeds of
$4,980,240.
Each Unit will consist of one common share and one-half of one
common share purchase warrant ("Warrant"), with each Warrant being
exercisable to acquire one common share of the company at a price
of $0.30 for a period of 24 months
following the closing date of the Offering.
The proceeds from the sale of FT Shares will be used for
Canadian Exploration Expenses (within the meaning of the Income Tax
Act (Canada) and Québec Tax Act)
and will be renounced for the current taxation year.
In connection with the Offering, members of the selling group
received a cash commission equal to 7% of the gross proceeds of the
Offering and brokers warrants ("Brokers Warrants") exercisable to
acquire that number of common shares of the Company equal to 7% of
the aggregate number of Units and FT Shares sold under the
Offering. All of the securities issued in connection with the
second tranche are subject to a hold period expiring on
August 27, 2017.
The Company intends to use the proceeds of the financing for
exploration on the high-grade Montalembert Gold Project located in
Quebec's prolific Abitibi
greenstone belt and for general working purposes.
President & CEO Steve
Roebuck comments:
"We as a company are extremely pleased with the expressed demand
for this financing. We now look forward to creating shareholder
value as we commence our spring/summer exploration program."
About Enforcer Gold Corp
Enforcer Gold Corp is earning a 100% interest in the
7300-hectare high-grade Montalembert Gold Project located west of
Chibougamau in Quebec's prolific Abitibi Greenstone Belt. The
project is very well situated only 5 kilometers from a paved
highway, hydro-electric power and with easy access to skilled
labour, fuel, food and accommodation it makes exploration costs
low.
Two recent channel samples from the Galena vein, taken 20 meters
apart along strike length, assayed 510.79 grams per tonne Au over 1
meter and 118.79 grams per tonne Au over 1 meter. Enforcer Gold has
committed over $2.2M to fund its 2017
exploration program which includes; data compilation, ground and
airborne geophysics, stripping of overburden, mapping, prospecting,
channel sampling, RC and diamond drilling.
On behalf of the Board of
Directors
Enforcer Gold Corp.
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 news release.
The TSX Venture Exchange has in no way passed upon the merits
of the proposed transactions and has neither approved nor
disapproved the contents of this press release.
THIS PRESS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS
NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES, AND DOES NOT
CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO SELL
ANY OF THE SECURITIES DESCRIBED HEREIN IN THE UNITED STATES. THESE SECURITIES HAVE NOT
BEEN, AND WILL NOT BE, REGISTERED UNDER THE UNITED STATED
SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS,
AND MAY NOT BE OFFERED OR SOLD IN THE
UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT
THEREFROM.
SOURCE Enforcer Gold