Sage Gold Inc. Announces Non-Brokered Private Placement
– Momentum Public Relations –
Press Release: December 06, 2016
Sage Gold Inc. (the “Corporation”) (TSX VENTURE:SGX) is pleased to announce that it intends to complete a non-brokered private placement (the “Offering”), subject to regulatory approval. The Offering will consist of the sale of 8 million Hard Dollar Units (“HD Units”) at $0.12 per HD Unit and 6 million Flow-Through shares (“FT shares”) at $0.14 per FT share. Each HD Unit includes one Common Share of the Corporation plus one half (1/2) of one Common Share purchase warrant (each whole warrant, a “Warrant”) for gross proceeds of Cdn$960,000. Each full Warrant entitles its holder to purchase one Common Share (a “Warrant Share”) at an exercise price of $0.24 for a period of 24 months following the Closing Date, whereupon the Warrants will expire. Each Flow-Thorough common share will be issued on a flow-through basis. Total proceeds of the FT shares will be Cdn$840,000. Eligible finders may receive cash and / or compensation shares up to 10{92d3d6fd85a76c012ea375328005e518e768e12ace6b1722b71965c2a02ea7ce} of the Offering.
If the Corporation’s shares trade at or above $0.35 per share for 20 consecutive trading days, the Corporation may, at any time after the expiry of the statutory hold period, accelerate the expiration of the Warrants upon not less than 30 days written notice by the Corporation, and thereafter repurchase any unexercised Warrants at $0.001 per underlying common share.
The Corporation may at its discretion sell additional common share units or flow-through shares to raise additional proceeds of up to twenty-five per cent (25{92d3d6fd85a76c012ea375328005e518e768e12ace6b1722b71965c2a02ea7ce}) of the Gross Proceeds of the Offerings.
Securities issued pursuant to the Offering shall be subject to a four-month hold period commencing on the Closing Date under applicable Canadian securities laws. The Corporation intends to use the net proceeds from the FT share Offering to incur Canadian Exploration Expenses (CEE) on its eligible projects and the proceeds of the HD Units for general working capital purposes.
The Offering is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange and the securities regulatory authorities.
The Company is a mineral exploration and development company which has primary interests in near-term production and exploration properties in Ontario. Its main properties are the 100{92d3d6fd85a76c012ea375328005e518e768e12ace6b1722b71965c2a02ea7ce} Clavos Gold property in Timmins and the 100{92d3d6fd85a76c012ea375328005e518e768e12ace6b1722b71965c2a02ea7ce} owned Onaman property including the Lynx copper, gold, silver property and other exploration properties in the Beardmore-Geraldton Gold Camp. Technical reports and information relating to the properties can be obtained from the System for Electronic Document Analysis and Retrieval (SEDAR) website at www.sedar.com and www.sagegoldinc.com.