Vancouver, British Columbia, Canada, April 14, 2020, Klondike Gold Corp. (TSX.V: KG; FRA: LBDP; OTC: KDKGF) (“Klondike Gold” or the “Company”) announces that it plans to raise up to $1,050,000 in aggregate of non-flow-through funds (the “Non-Flow-Through Placement) and flow-through funds (the “Flow-Through Placement”) by way of a non-brokered private placement.
The Non-Flow-Through Placement will consist of the sale of units priced at $0.175 per unit, with each unit consisting of one common share and one-transferable share purchase warrant.
The Flow-Through Placement will consist of the sale of flow-through units at a price of $0.19 per flow-through unit with each unit consisting of one common share of the Company, which is a “flow-through” share for Canadian income tax purposes, and one-transferrable common share purchase warrant
Each warrant will entitle the holder to purchase one common share at a price of $0.25 per common share for a period of 2 years from closing.
A Finder’s fee may be paid on gross proceeds of the financing.
The Company intends to use the proceeds from the offering to continue exploration and development of the Company’s Yukon properties, as well as for general working capital.
The securities issued in connection with this transaction are subject to TSX Venture Exchange approval and all securities will be subject to a four month statutory hold period after closing.
ABOUT KLONDIKE GOLD CORP.
Klondike Gold Corp. is a Vancouver based gold exploration company advancing its 100%-owned Klondike District Gold Project located at Dawson City, Yukon Territory, one of the top mining jurisdictions in the world. The Klondike District Gold Project targets gold associated with district scale orogenic faults along the 55-kilometer length of the famous Klondike Goldfields placer district. To date, multi-kilometer gold mineralization has been identified at both the Lone Star Zone and Stander Zone, among other targets. The Company is focused on exploration and development of its 586 square kilometer property accessible by scheduled airline and government-maintained roads located on the outskirts of Dawson City, YT within the Tr’ondëk Hwëch’in First Nation traditional territory.
ON BEHALF OF KLONDIKE GOLD CORP.
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.
Disclaimer for Forward-Looking Information
“This press release contains “forward-looking information” and “forward-looking statements” within the meaning of applicable securities laws. This information and statements address future activities, events, plans, developments and projections. All statements, other than statements of historical fact, constitute forward-looking statements or forward-looking information. Such forward-looking information and statements are frequently identified by words such as “may,” “will,” “should,” “anticipate,” “plan,” “expect,” “believe,” “estimate,” “intend” and similar terminology, and reflect assumptions, estimates, opinions and analysis made by management of Klondike in light of its experience, current conditions, expectations of future developments and other factors which it believes to be reasonable and relevant. Forward-looking information and statements involve known and unknown risks and uncertainties that may cause Klondike’s actual results, performance and achievements to differ materially from those expressed or implied by the forward-looking information and statements and accordingly, undue reliance should not be placed thereon.
Risks and uncertainties that may cause actual results to vary include but are not limited to the availability of financing; fluctuations in commodity prices; changes to and compliance with applicable laws and regulations, including environmental laws and obtaining requisite permits; political, economic and other risks; as well as other risks and uncertainties which are more fully described in our annual and quarterly Management’s Discussion and Analysis and in other filings made by us with Canadian securities regulatory authorities and available at www.sedar.com. Klondike disclaims any obligation to update or revise any forward-looking information or statements except as may be required.”