pcJ News Briefs – Balmoral Resources Ltd. (TSX: BAR) has completed previously announced non-brokered Quebec flow-through (FT) private placement, issuing 3,843,333 Quebec FT common shares at $0.90 per share for gross proceeds of $3,458,999.70.
Balmoral Resources has also entered into an agreement with four Quebec private equity investors, Sodemex (Caisse de dépôt et placement du Québec (CDQP)), Fonds régionaux de solidarité FTQ, Sidex Limited Partnership and Société de dévelopment de la Baie-James (SDBJ) for a non-brokered private placement of up to 3,448,276 common shares at $0.58 per common share for gross proceeds of up to $2 million.
The offering is expected to close on or before October 10, 2017. Net proceeds will be used to further continue its exploration of the Detour Gold Trend Project and for general working capital purposes.
photo credit: Balmoral Resources
News Release
Balmoral Announces Closing of $3.46 Million Private Placement of Flow-Through Common Shares
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
(Vancouver, September 29, 2017) – Balmoral Resources Ltd. (TSX:BAR) (“Balmoral” or the “Company”) announces that it has closed the previously announced (see NR17-14 dated August 16th, 2017) non-brokered Quebec flow-through private placement. Upon closing the Company issued 3,843,333 Quebec flow-through common shares, (the “Quebec FT Shares”) at a price of C$0.90 per Quebec FT Share (the “Quebec FT Offering”) for gross proceeds of $3,458,999.70. The flow-through common shares issued will be subject to a four month and one day hold period from the date of closing of the Offering under applicable securities laws in Canada.
The gross proceeds from the Quebec FT Offering will be used by the Company to continue the exploration of its Detour Gold Trend Project located in the Province of Quebec, including the further delineation and expansion of the numerous gold deposits located within the Martiniere gold system. The Company has agreed to pay certain finders a cash fee of $182,924.99.
Common Share Offering
In addition the Company is pleased to announce that is has arranged for a non-brokered private placement of common shares with four institutional investors located in the Province of Quebec – the Caisse de dépôt et placement du Québec/Sodemex (“CDPQ”), Fonds régionaux de solidarité FTQ (“FTQ”), Sidex Limited Partnership (“Sidex”) and the Société de dévelopment de la Baie-James (“SDBJ”). The private placement will raise up to an additional $2.0 million through the issuance of up to 3,448,276 common shares of the Company (the “Common Share Offering”) at a price of $0.58 per common share.
The Company may pay certain participants administrative fees of up to 4% of the gross proceeds of the Common Share Offering.
The closing of the Common Share Offering is anticipated to occur on or before October 10, 2017 (the “Common Share Offering Closing Date”). The Common Share Offering is subject to certain conditions including receipt of regulatory approvals, including the acceptance of the Common Share Offering by the TSX. The common shares to be issued under the terms of the Common Share Offering will be subject to a four month hold period under applicable securities laws in Canada.
The net proceeds from the Common Share Offering will be used by the Company to further continue its exploration of the Detour Gold Trend Project and for general working capital purposes.
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES