Upsized Offering to Include 8,750,000 Common Shares and, as Initially Announced, 25,000,000 Flow-Through Shares for Aggregate Gross Proceeds of $35 Million
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Trading Symbol: TSXV: BGM
TORONTO, Sept. 1, 2017 /CNW/ – Barkerville Gold Mines Ltd. (TSXV:BGM) (“Barkerville” or the “Corporation“) is pleased to announce that it has amended its agreement with Canaccord Genuity Corp., on behalf of a syndicate of underwriters (collectively the “Underwriters“) in relation to its previously announced “bought deal” private placement of 25,000,000 common shares of the Corporation that will qualify as “flow-through shares” (within the meaning of subsection 66(15) of the Income Tax Act (Canada) (“Flow-Through Shares“) at a price of $1.12 per Flow-Through Share (the “Offering“). The Offering has been amended to include an additional 8,750,000 common shares of the Corporation (“Common Shares“) at a price of $0.80 per Common Share for additional gross proceeds of $7,000,000. The terms of the previously announced private placement financing of Flow-Through Shares remain unchanged.
The Offering is expected to close on or about September 28, 2017 and is subject to certain closing conditions including, but not limited to, the receipt of all necessary approvals including the conditional listing approval of the TSX Venture Exchange and the applicable securities regulatory authorities. The Offering is being made by way of private placement in Canada and pursuant to available exemptions under applicable securities laws in such other jurisdictions as may be agreed between the Corporation and the Underwriters. The securities issued under the Offering will be subject to a hold period expiring four months and one day from the closing date of the Offering. The Offering is subject to final acceptance of the TSX Venture Exchange.
This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act“), or any state securities laws and may not be offered or sold within the United States or to or for the account or benefit of a U.S. person (as defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
About Barkerville Gold Mines Ltd.
The Corporation is focused on developing its extensive land package located in the historical Cariboo Mining District of central British Columbia. Barkerville’s mineral tenures cover 2,110 square kilometres along a strike length of 67 kilometres, which includes several past producing hard rock mines of the historic Barkerville Gold Mining Camp near the town of Wells, British Columbia. The QR Project, located approximately 110 kilometres by highway and all weather road from Wellswas acquired by Barkerville in 2010 and boasts a fully permitted 900 tonne/day gold milling and tailings facility. Test mining of the Bonanza Ledge open pit was completed in March of 2015 with 91,489 tonnes of material milled producing 25,464 ounces of gold. The Corporation has completed several drilling and exploration programs over the past 20 years and has compiled this data with all historical information in order to develop geologic models which are assisting management in defining new deposits in the Cariboo Gold Project. An extensive drill program is currently underway with the goal of delineating additional high-grade gold mineralization.
Cautionary Statement on 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. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, the Corporation’s objectives, goals or future plans; statements regarding the Offering; the use of proceeds of the Offering; the timing and ability of the Corporation to complete the Offering, if at all; the jurisdictions in which the Flow-Through Shares and Common Shares will be offered and sold; exploration results and exploration plans. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, risks relating to the Offering; volatility in the trading price of common shares of the Corporation; risks relating to the ability of the Corporation to obtain required approvals, complete definitive documentation and complete the Offering on the terms announced; capital and operating costs varying significantly from estimates; the preliminary nature of metallurgical test results; delays in obtaining or failures to obtain required governmental, environmental or other project approvals; uncertainties relating to the availability and costs of financing needed in the future; changes in equity markets; inflation; fluctuations in commodity prices; delays in the development of projects; the other risks involved in the mineral exploration and development industry; and those risks set out in the Corporation’s public documents filed on SEDAR. Although the Corporation believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Corporation disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.
SOURCE Barkerville Gold Mines Ltd.
For further information: For further information on Barkerville Gold Mines Ltd., please contact: Chris Lodder, President and Chief Executive Officer, Barkerville Gold Mines Ltd., 155 University Avenue, Suite 1400, Toronto, Ontario, Canada, [email protected]