logo-loader
viewJapan Gold

Japan Gold planning C$3 million raise to advance gold exploration

The Vancouver-based company has a host of gold exploration properties across three of Japan’s largest islands

Japan Gold -
The private placement sees Japan Gold issuing up to 12 million units priced at C$0.25 per unit for gross proceeds of C$3 million

Japan Gold Corp (CVE:JG) (OTCQB:JGLDF) announced Monday it is raising up to C$3 million to fund ongoing exploration in the Asian nation.

The Vancouver-based company has a host of gold exploration properties across three of Japan’s largest islands and a country-wide alliance with mining giant Barrick Gold Corporation on its 30 projects.

The private placement sees Japan Gold issuing up to 12 million units priced at C$0.25 per unit for gross proceeds of C$3 million.

READ: Japan Gold says new exploration results from Ohra-Takamine gold project "very encouraging"

Each unit consists of one share and one-half of one warrant exercisable at C$0.40 for a 24-month period following closing. The warrants will contain a forced exercise provision if the closing price of the shares on the TSX Venture Exchange is equal to or greater than C$0.80 for a period of 10 consecutive trading days, Japan Gold said in a statement.

The company agreed to pay a finder’s fee of 6% of the gross proceeds to third parties sourced by the finders as well as warrants to purchase the equivalent number of shares or of the number of units sold to third parties sourced by the finder. The finder's warrants will be exercisable at C$0.25 per share for a period of 12 months from the date of closing.

A portion of the proceeds will also be used for general working capital.

Shares of Japan Gold jumped 5.9% in Toronto on Monday morning to trade at C$0.27 and traded around US$0.20 over the counter.

Contact Angela at [email protected]

Follow her on Twitter @AHarmantas

Quick facts: Japan Gold

Price: 0.335 CAD

TSX-V:JG
Market: TSX-V
Market Cap: $59.76 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Japan Gold named herein, including the promotion by the Company of Japan Gold in any Content on the Site, the Company receives from said issuer...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Full interview: Japan Gold closes second tranche of financing bringing 5...

Japan Gold (CVE: JG- OTCQB: JGLDF) Chairman and CEO John Proust joined Steve Darling from Proactive Vancouver with details the company has completed their second oversubscribed tranche of financing worth 5 million dollars. Proust shared with Proactive his thoughts on this financing and where...

on 3/6/20

2 min read