Vancouver, British Columbia (FSCwire) - Klondike Gold Corp. (TSX.V:KG; FRA: LBDP) (“Klondike Gold” or the “Company”) is pleased to report that the Company has closed its non-brokered private placement financing (the “Financing) for total gross proceeds of $2,000,000 of flow-through funds.
Financing:
The Company has issued 10,000,000 flow-through units (each a “FT Unit”) at the price of $0.20 for gross proceeds of $2,000,000. Each FT Unit is comprised of one common share which is a “flow-through” share for Canadian income tax purposes and one non flow-through common share purchase warrant (a “Warrant”) exercisable to purchase one additional non flow-through common share at the price of $0.30 until April 4, 2020. The securities issued in connection with this Financing will be subject to a statutory hold period which expires on August 5, 2017.
The Company has also recently received $251,614 from the early exercise of 1,508,071 warrants at $0.15 and $0.20 which were set to expire in November and December 2017.
The net proceeds of ~$2M raised through the Financing and concurrent warrant exercise will be used for exploration and development of Canadian mineral properties and for general working capital purposes.
Pursuant to the Company’s Stock Option Plan a total of 1,400,000 incentive stock options have been granted to directors, officers, consultants, and employees of the Company. The options are exercisable at a price of $0.26 per share for a period of 10 years, subject to regulatory approval.
ABOUT KLONDIKE GOLD CORP.
Klondike Gold Corp. is a Canadian exploration company with offices in Vancouver, British Columbia, and Dawson City, Yukon Territory. The company is focused on exploration and development of its Yukon gold projects, accessible by government maintained roads located on the outskirts of Dawson City, YT, covering a district-scale 527 square kilometers of hard rock and 20 square kilometers of placer claims including “McKinnon Creek” featured on the Discovery Channel show “Gold Rush”.
