Wellgreen Platinum announces $9.5M financing led by Tocqueville Gold Fund

pcJ News Briefs – Wellgreen Platinum Ltd. (TSX: WG; OTCQX: WGPLF) has arranged a private placement of up to 33,795,591 units for gross proceeds of $9,531,215, consisting of 25,120,056 NFT units at $0.26 per NFT unit and 8,675,535 FT units at $0.3458 per FT unit.

The financing will be led by new investor, Tocqueville Gold Fund, which will be acquiring 12,379,201 NFT units. Existing investors Resource Capital Fund VI L.P. will be acquiring 8,675,535 FT units, Electrum Strategic Opportunities Fund L.P. will be acquiring 6,742,271 NFT units, and Drake Private Investments will be acquiring 5,998,584 NFT units.

News Release

Wellgreen Platinum Announces $9.5 Million Private Placement

Not for Distribution to United States Newswire Services or for Dissemination in the United States

August 2, 2017, Vancouver, B.C. – Wellgreen Platinum Ltd. (TSX: WG; OTC-QX: WGPLF) (“Wellgreen” or the “Company”) is pleased to announce that it has arranged a private placement (“Private Placement”) of up to 33,795,591 units (“Units”) for aggregate gross proceeds to the Company of approximately $9,531,215. A total of 25,120,056 Units are priced at $0.26 per Unit, with each Unit comprised of one common share (“Common Shares”) and one-half of one Common Share purchase warrant (“Warrants”). Each Warrant is exercisable for one Common Share for a period of five years following closing of the Private Placement at a price of $0.35. In addition, 8,675,535 Units (“FT Units”) are priced at $0.3458 per FT Unit, with each FT Unit comprised of one “flow-through” common share and one-half of one Common Share purchase warrant (“FT Warrants”). Each FT Warrant is exercisable for one Common Share for a period of five years following closing of the Private Placement at a price
of $0.35.

The Company is pleased to announce that Tocqueville Gold Fund will be acquiring 12,379,201 Units, Resource Capital Fund VI L.P. will be acquiring 8,675,535 FT Units, Electrum Strategic Opportunities Fund L.P. will be acquiring 6,742,271 Units, and Drake Private Investments will be acquiring 5,998,584 Units in connection with the Private Placement.

The gross proceeds of the Private Placement will be applied towards the continuing development of the Company’s 100%-owned Wellgreen Ni-PGM-Cu project located in the Yukon Territory and for general corporate purposes.

Diane R. Garrett, CEO of Wellgreen, commented, “We are very pleased with this equity financing, which will not only allow us to continue to advance our project, but also demonstrates the continued strength and support of our shareholder base. Adding Tocqueville to our registry, coupled with the expanded positions of RCF and Drake Capital and the continued support of Electrum, should be a clear signal to the market that we are on the right track as we re-position the company for its next leg of growth and increased shareholder value”.

The closing of the Private Placement is expected to occur on or about August 4, 2017 and is subject to, among other things, receipt of all applicable regulatory approvals, including approval of the Toronto Stock Exchange (“TSX”). All Units issued under the Private Placement will be subject to a statutory four month hold period.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Wellgreen Platinum Contact:
Diane R. Garrett
President & Chief Executive Officer
1-416-304-9318
dgarrett@wellgreenplatinum.com

Graeme Jennings
Vice-President, Corporate Development & Investor Relations
1-416-304-9322
gjennings@wellgreenplatinum.com

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