Victoria Gold Corp. (TSX-V:VIT) is pleased to announce that it has completed non-brokered private placements through the sale of 21,024,136 flow-through common shares to raise gross proceeds of approximately $3.6 million. The proceeds from the sale of the Flow-Through Common Shares are expected to be used to explore and advance the Company’s Dublin Gulch property, specifically, the Olive and Shamrock targets.
“The high demand for this flow-through issuance has resulted in an increase in the total amount of the financing from the $1.75 million financing, which closed in late November 2015, to the $3.6 million financing outlined herein. This increased funding coupled with competitive drilling prices will enable us to achieve a robust drilling program on the Olive and Shamrock targets,” said John McConnell, President & CEO.
The Financing included:
The gross proceeds from the sale of the Flow-Through Common Shares will be used for Canadian Exploration Expenses (within the meaning of the Income Tax Act (Canada)), and the Company will use its best efforts to ensure that such Canadian Exploration Expenses qualify as a “flow-through mining expenditure,” for purposes of the Income Tax Act (Canada), related to the exploration of the Company’s exploration projects. The Company will renounce such Canadian Exploration Expenses with an effective date no later than December 31, 2015.
In connection with the Financing, the Company has paid a 6% cash finder’s fee on certain orders to Secutor Capital Management Corp. and Red Cloud Mining Capital Inc. in consideration for their efforts in introducing subscribers to the Company. Directors and officers of the Company purchased 1,804,405 shares in the Financing.
All securities issued will be subject to a four month hold period and this transaction remains subject to receipt of the final approval of the TSX Venture Exchange.
About Olive and Shamrock
The Olive and Shamrock targets are defined by a broad gold/arsenic in-soils geochemical anomaly and lie on the intrusive-sediment contact of the Potato Hills Trend (as does the Eagle Deposit) and are punctuated by several historically exploited high-grade sulphide veins. The area was mined on a small scale from shallow shafts and adits in the early 1900’s and via placer mining in creeks draining the area. The Olive and Shamrock vein system is located near the top of Olive Gulch and consists of gold-bearing quartz-scorodite-arsenopyrite vein material centralized in a shear zone structure. More detail and a current summary of the Olive and Shamrock Zone exploration can be found on the Company website.
About the Dublin Gulch Project
Victoria Gold’s 100%-owned Dublin Gulch gold property is situated in the central Yukon Territory, Canada, approximately 375 kilometers north of the capital city of Whitehorse, and approximately 85 kilometers from the town of Mayo. The Property is accessible by road year-round, and is located within Yukon Energy’s electrical grid. The Company has constructed and maintains a 100 person all-season camp at the project site.
The Property covers an area of approximately 555 square kilometers, and is the site of the Company’s Eagle Gold Deposit. The Eagle Gold Deposit is expected to be Yukon’s next operating gold mine and includes Probable Reserves of 2.3 million ozs of gold from 92 million tonnes of ore with a grade of 0.78 grams of gold per tonne, as outlined in a National Instrument 43-101 definitive feasibility study. The NI 43-101 Mineral Resource has been estimated to host 222 million tonnes averaging 0.68 grams of gold per tonne, containing 4.9 million ounces of gold in the “Indicated” category, inclusive of Probable Reserves, and a further 78 million tonnes averaging 0.60 grams of gold per tonne, containing 1.5 million ounces of gold in the “Inferred” category.
Forum Energy Metals Corp. (TSX-V: FMC) is pleased to announce tha... READ MORE
First Vanadium Corp. (TSX-V: FVAN) (OTCQX: FVANF) (FSE: 1PY) anno... READ MORE
Maverix Metals Inc. (NYSE American: MMX) (TSX: MMX) is pleased to... READ MORE
Sokoman Minerals Corp. (TSX-V:SIC) (OTCQB:SICNF) is excited to an... READ MORE
U.S. Gold Corp. (NASDAQ: USAU), a gold exploration and developmen... READ MORE