West Red Lake Gold Mines Closes $1,300,000 Financing
Toronto, Ontario (FSCwire) - West Red Lake Gold Mines Inc. (“West Red Lake Gold” or the “Company”) (CSE: RLG) (FWB: HYK) (OTC: HYLKF) announces that it has completed a non brokered private placement of common share units for aggregated gross proceeds of $1,300,000.
The Company issued 5,200,000 common share units (the “Common Share Units”) at a price of $0.25 per Common Share Unit for aggregated gross proceeds of $1,300,000. Each Common Share Unit consists of one common share in the capital of the Company and one common share purchase warrant (the “Warrant”). Each Warrant issued in connection with the financing entitles its holder to purchase one common share in the capital of the Company at an exercise price of $0.40 per share for a period of 18 months from the date of issuance.
Proceeds from the financing will be used for exploration on the Company's gold exploration project located in Red Lake, Ontario and for general working capital purposes.
In connection with the financing, the Company paid finders’ fees to eligible persons in the form of $79,825 in cash and 143,000 warrants to purchase Common Share Units at $0.25 for 24 months.
West Red Lake Gold Mines Inc. is a Toronto-based minerals exploration company focused on gold exploration and development in the prolific Red Lake Gold District of Northwest Ontario, Canada. The Red Lake Gold District is host to some of the richest gold deposits in the world and has produced 30 million ounces of gold from high grade zones. The Company has assembled a significant property position totalling 3100 hectares in west Red Lake (the "West Red Lake Project") which contains three former gold mines. The Mount Jamie Mine and Red Summit Mine properties are 100% owned by the Company and the Rowan Mine property is held in a 60%-owned joint venture with Red Lake Gold Mines, a partnership of Goldcorp Inc. and Goldcorp Canada Ltd. The West Red Lake Project property covers a 12 kilometre strike length along the Pipestone Bay-St Paul Deformation Zone and the Company plans to continue to explore the property both along strike and to depth. To find out more about West Red Lake Gold, please visit our website at http://www.westredlakegold.com.
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For more information, please contact: John Kontak, President and acting CFO, Phone: 416-203-9181 Email: jkontak@rlgold.ca
The Canadian Securities Exchange has neither approved nor disapproved the contents of this news release. Certain statements constitute "forward looking statements". When used in this news release, the words "anticipated", "expect", "estimated", "forecast", "planned", and similar expressions are intended to identify forward looking statements or information. These statements are based on current expectations of management, however, they are subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from the forward-looking statements in this news release. Readers are cautioned not to place undue reliance on these statements. West Red Lake Gold does not undertake any obligation to revise or update any forward-looking statements as a result of new information, future events or otherwise after the date hereof, except as required by securities laws.
To view this press release as a PDF file, click onto the following link:
public://news_release_pdf/WRedLakeAug52016.pdf
Source: West Red Lake Gold Mines Inc. (CSE:RLG, OTC Bulletin Board:HYLKF)
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