StrikePoint Gold Inc. Closes $2,090,490 Private Placement
Vancouver, British Columbia--(Newsfile Corp. - July 22, 2019) - StrikePoint Gold Inc. (TSXV: SKP) (OTCQB: STKXF) ("StrikePoint" or the "Company") is pleased to announce that the company has closed its previously announced financing consisting of 6,945,000 flow-through units at a price of $0.16 per unit (the "FT Units") and 8,904,545 non flow-through units (the "NFT Units") at a price of $0.11 per unit for total gross proceeds of $2,090,489.96. Each unit will be comprised of one share and one share purchase warrant, with each warrant exercisable at a price of $0.20 for a period of 36 months from closing.
In connection with the financing, finder's fees of $42,151.55 cash and 263,447 finder's warrants were paid to RedPlug Inc. and $1,554 cash and 11,900 to Haywood Securities Inc.
The Use of Proceeds from the financing are for surface exploration and core drilling at the high-grade Willoughby Gold Property, located east of Stewart, BC in the Golden Triangle, as well as for general working capital.
"StrikePoint is now fully funded for an imminent diamond drilling, targeting both the North and Willoughby zones at the high-grade gold Willoughby property. These two zones are over 1,000m apart, exhibit geological similarities to both the Red Mountain and Premier Gold Deposit, and are wide open for Expansion. Surface exploration activities are underway on the property, including surface mapping and sampling, prior to drilling which is scheduled to commence within the week," Shawn Khunkhun, StrikePoint CEO, remarked.
The securities issued in connection with the financing are subject to a regulatory hold period expiring on November 23, 2019.
Due to insider participation in the private placement, it is considered a related party transaction within the meaning of Multilateral Instrument 61-101 ("MI 61-101"). The participation is exempt from the need to obtain minority shareholder approval and a formal valuation on the basis that insider participation is less than 25% of the Issuer's market capital.
StrikePoint Gold is a gold exploration company focused on precious metal exploration and discovery in Canada. The company controls two exploration assets in BC's Golden Triangle. The past producing high grade silver Porter Project and the high-grade gold property Willoughby, which is adjacent to Red Mountain. The company also owns portfolio of gold properties in the Yukon.
ON BEHALF OF THE BOARD OF DIRECTORS OF
STRIKEPOINT GOLD INC.
Chief Executive Officer and Director
Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed under the heading "Risk Factors" and elsewhere in the Company's filings with Canadian securities regulators. Such information contained herein represents management's best judgment as of the date here of based on information currently available. The Company does not assume any obligation to update any forward-looking statements, save and except as may be required by applicable securities laws.
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.
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