Northstar Gold Corp (CSE:NSG) said it has closed the second and final tranche of its previously-announced C$2.7 million non-brokered private placement equity financing for gross proceeds of C$287,568.15.
The company said the flow-through funds will be used for exploration at its flagship Miller Gold Property and Bryce Gold Property located near Kirkland Lake, Ontario, while money from the non-flow-through component will also be used for exploration work on the Miller Gold Property and for general working capital purposes.
Northstar added that the offering was over-subscribed and was comprised of 22,088 flow-through units for a total of $7,068.15 and 1,122,000 non-flow-through units totalling $280,500.
READ: Northstar Gold seeing results in its hunt for large gold system in Kirkland Lake District of Ontario
The flow-through units were priced at $0.32 each and comprised of one flow-through common share and one-half of one non-flow-through share purchase warrant. Each full warrant is exercisable for one non-flow-through common at an exercise price of $0.45 for a period of 18 months.
The non-flow-through units, meanwhile, were priced at $0.25 each and were comprised of one common share and one-half of one share purchase warrant. Each full purchase warrant is exercisable into common shares at a price of $0.40 for a period of 18 months.
Northstar Gold also noted that it will begin a 2,200-metre Phase IIA diamond drill program on the Miller Gold Property in mid-March that will target:
- Additional confirmatory drilling/step-outs from 2020 near-surface high-grade gold No. 1 Vein results within the historic estimate area;
- High-grade gold-telluride mineralization associated with the First Order Catharine Fault structure;
- Strike extension drilling to enlarge the 2020 Allied Gold Zone discovery, which included 1.2 grams per tonne (g/t) gold over 107.3 metres (m) and;
- Test newly defined 3D gravity and magnetic inversion GoldSpot ‘gold in syenite’ AI machine learning anomalies.
Northstar Gold is focused on advancing exploration properties in the prolific Abitibi Greenstone belt and Kirkland Lake district in Ontario.
The company's flagship asset is the Miller gold project, which is a resource-stage property 18 kilometres (km) southeast of Kirkland Lake Gold's Macassa mine complex. Miller has many geological similarities to nearby mines but is relatively unexplored at depth.
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