Non-brokered deal funds mineral properties, general working capital
By Devika Patel
Knoxville, Tenn., April 11 - Northern Freegold Resources Ltd. said it increased a non-brokered private placement of units to C$1.5 million from C$1 million due to investor demand. The deal priced April 3 and raised C$826,100 on April 5.
The company is now selling 25 million units of one common share and a half-share warrant at C$0.06 per unit. It sold 13,768,333 units in the initial tranche.
Each whole warrant is exercisable at C$0.10 for three years. The strike price is a 66.67% premium to the April 2 closing share price of C$0.06.
TerraLogic Exploration Inc. will invest C$500,000. Eagle Plains Resources Ltd. has invested C$500,000 and Sino-Canada Natural Resources Fund I will invest C$500,000.
Proceeds will be used on the company's mineral properties and for general working capital.
Northern Freegold is a resource exploration and development company based in Vancouver, B.C.
| Issuer: | Northern Freegold Resources Ltd.
|
| Issue: | Units of one common share and a half-share warrant
|
| Amount: | C$1.5 million
|
| Units: | 25 million
|
| Price: | C$0.06
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | Three years
|
| Warrant strike price: | C$0.10
|
| Agent: | Non-brokered
|
| Investor: | TerraLogic Exploration Inc. (for C$500,000), Eagle Plains Resources Ltd. (for C$500,000), Sino-Canada Natural Resources Fund I (for C$500,000)
|
| Pricing date: | April 3
|
| Upsized: | April 11
|
| Settlement date: | April 5 (for C$826,100)
|
| Stock symbol: | TSX Venture: NFR
|
| Stock price: | C$0.06 at close April 2
|
| Market capitalization: | C$6.94 million
|
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