Majestic Gold Corp. (TSX.V: MJS) has closed its non-brokered private placement financing announced on December 16, 2016 for total proceeds of $9,787,500 by the issuance of 72,500,000 units at $0.135 per unit. Each unit consisted of one common share and one common share purchase warrant, entitling the holder to purchase an additional common share at $0.155 for a period of two years after the closing.
Proceeds from the private placement will be used to partially fund construction of housing for inhabitants of two villages being relocated due to their close proximity to the Songjiagou open pit operation, and for general working capital purposes.
The securities issued in connection with this financing will be subject to a statutory hold period which expires on April 22, 2017.
About Majestic Gold
Currently focused solely in China, Majestic Gold Corp. is a British Columbia based company engaged in commercial gold production at the Songjiagou Gold Mine in eastern Shandong Province, China. Additional information on the Company and its projects is available at www.majesticgold.com.
Source: Majestic Gold
