NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWS WIRE SERVICES
Eminent Gold Corp. (TSXV: EMNT) (OTCQB: EMGDF) (“Eminent” or the “Company”) is pleased to announce, further to its news release dated June 21, 2022, that it has closed the first tranche of its non-brokered private placement (the “Private Placement”) of 1,642,222 units (the “Units”) at a price of $0.45 per Unit for gross proceeds of $739,000.
Each Unit is comprised of one common share in the capital of the Company (each, a “Share”) and one non-transferable Share purchase warrant (each, a “Warrant”). Each whole Warrant will entitle the holder to purchase one additional Share in the capital of the Company (each, a “Warrant Share”) for a period of 36 months from the closing date at an exercise price of $0.75 per Warrant Share. If at any time after November 11, 2022 the closing price of the Shares is at a price equal to or greater than $1.50 for a period of ten consecutive trading days, the Company will have the right to accelerate the expiry date of the Warrants by giving notice, via a news release, to the holders of the Warrants that the Warrants will expire on the date that is 30 days after the issuance of said news release.
The Shares, Warrants and underlying Warrant Shares are subject to a hold period that expires on November 12, 2022.
In connection with the closing, the Company paid $16,650.00 cash commission to arm’s length finders, representing 5% of the gross proceeds raised on the sale of the Units placed by such finders.
Certain insiders of the Company participated in the offering and subscribed for an aggregate of 160,000 Units for gross proceeds of $72,000 under the Private Placement (the “Insider Subscriptions”). The Insider Subscriptions constitute “related party transactions” within the meaning of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Company has relied on the exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 contained in Sections 5.5(a) and 5.7 (a), respectively, of MI 61-101 in respect of the Insider Subscriptions.
About Eminent Gold Corp.
Eminent Gold Corp. is a gold exploration company focused on creating shareholder value through the exploration and discovery of world-class gold deposits in Nevada. Its multidisciplinary team has had multiple successes in gold discoveries and brings expertise and new ideas to the Great Basin. The Company's exploration assets in the Great Basin include: Hot Springs Range Project, Weepah, Gilbert South, and Spanish Moon District.
On behalf of the Board of Directors,
CEO and Director
Neither 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.