NV Gold Closes $910,000 Private Placement and Reports Eric Sprott Increases Shareholding
VANCOUVER, British Columbia, Oct. 31, 2017 (GLOBE NEWSWIRE) -- NV Gold Corporation (TSX.V:NVX) (the “Company”) announced today that it has sold 2,600,000 Units at CDN$0.35 per Unit under the non-brokered private placement of Units of the Company announced on October 20, 2017, for gross proceeds of CDN$910,000. One subscriber to the private placement, which acquired 892,858 Units, is a corporation owned by Eric Sprott. The proceeds of the Placement will be used by the Company for the further advancement of the ATV Project and the acquisition and advancement of new properties of the Company and for general working capital.
Each Unit consists of one Share and one-half of one Warrant exercisable at CDN$0.60 per share until October 30, 2019. The Units and any shares of the Company issued on exercise of the Warrants forming part of the Units are subject to a hold period expiring on March 1, 2018.
John Watson, President and CEO of the Company, purchased 307,142 Units.
Eric Sprott, through 2176423 Ontario Ltd., a corporation which is beneficially owned by him, acquired 892,858 Units in the private placement which, when added to the 3,928,572 shares of the Company already owned by 2176423 Ontario Ltd., make him now the indirect owner of approximately 14.1% of the issued and outstanding common shares of the Company on a non-diluted basis, and approximately 19.7% assuming all share purchase warrants owned by 2176423 Ontario Ltd. are exercised. The above percentages are calculated based on 34,254,154 common shares issued and outstanding after giving effect to the private placement. Prior to this financing, Mr. Sprott, through 2176423 Ontario Ltd., owned 3,928,572 shares of the Company and 1,964,286 share purchase warrants of the Company.
The Units were acquired by Mr. Sprott, through 2176423 Ontario Ltd. for investment purposes. Mr. Sprott has a long-term view of the investment and may acquire additional securities of the Company either on the open market or through private acquisitions or sell securities of the Company either on the open market or through private dispositions in the future depending on market conditions, reformulation of plans and/or other relevant factors. A copy of 2176423 Ontario Ltd.’s early warning report will appear on the Company's profile on SEDAR and may also be obtained by calling (416) 362-7172 (200 Bay Street, Suite 2600, Royal Bank Plaza, South Tower, Toronto, Ontario M5J 2J2).
About NV Gold Corporation
NV Gold is junior exploration company based in Vancouver, British Columbia that is focused on delivering value through mineral discoveries utilizing the prospector generator model. Leveraging its highly experienced in-house technical knowledge, NV Gold’s geological team intends to use its geological database, which contains a vast treasury of field knowledge spanning decades of research and exploration, combined with a portfolio of mineral properties in Nevada, to create opportunities for lease or joint venture. NV Gold plans to aggressively acquire additional land positions for the growth of its business.
On behalf of the Board of Directors,
(sgd.) "John E. Watson"
President and CEO
For further information, visit the Company’s website at www.nvgoldcorp.com or contact:
John E. Watson,
Phone: 303.674.9400
Email: john@nvgoldcorp.com
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward Looking Statements
This news release includes certain forward-looking statements or information. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the proposed uses of such funds, the potential to create opportunities for lease or joint venture and other future plans and objectives of the Company, including exploration plans, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's plans or expectations include regulatory issues, market prices, availability of capital and financing, general economic, market or business conditions, timeliness of government or regulatory approvals and other risks detailed herein and from time to time in the filings made by the Company with securities regulators. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation.