Trillium Gold Mines Announces Closing of C$7.5 Million Brokered Private Placement
03 March 2022 - 4:28AM
Trillium Gold Mines Inc. (TSXV: TGM) (FRA:0702) (“Trillium Gold” or
the "Company") is pleased to announce the closing of its previously
announced brokered private placement (the “Offering”) for gross
proceeds of C$7,500,000. The Offering was upsized from its original
gross proceeds of up to C$5,000,000 and includes the full proceeds
of the Agent’s option. The Offering was led by Red Cloud Securities
Inc. (the “Agent”) and is comprised of the sale of the following:
- 3,753,586 units of the Company (each, a "Unit") at a price of
C$0.53 per Unit;
- 4,036,220 flow-through units of the Company (each, a "FT Unit")
at a price of C$0.60 per FT Unit; and
- 4,118,490 FT Units sold to charitable purchasers (each, a
"Charity FT Unit") at a price of C$0.75 per Charity FT Unit.
Each Unit consists of one common share of the
Company (each a “Unit Share”) and one half of one common share
purchase warrant (each whole warrant, a “Warrant”). Each FT Unit
and Charity FT Unit consists of one common share of the Company
issued as a “flow-through share” within the meaning of the Income
Tax Act (Canada), (each, a “FT Share”) and one half of one Warrant.
Each Warrant entitles the holder to purchase one common share of
the Company (each, a “Warrant Share”) at a price of C$0.80 at any
time on or before March 2, 2024.
Proceeds from the sale of FT Shares will be used
to incur "Canadian exploration expenses" as defined in subsection
66.1(6) of the Income Tax Act (Canada) and "flow through mining
expenditures" as defined in subsection 127(9) of the Income Tax Act
(Canada). Such proceeds will be renounced to the subscribers with
an effective date not later than December 31, 2022, in the
aggregate amount of not less than the total amount of gross
proceeds raised from the issue of FT Shares.
The Company intends to use the proceeds raised
from the Offering for exploration of the Company’s Red Lake
properties, as well as for general working capital purposes. The
Unit Shares, FT Shares, Warrants and Warrant Shares will be subject
to a four-month hold period ending on July 3, 2022.
As consideration for its services, the Agent
received a cash commission of C$450,000 and 714,497 broker
warrants, with each broker warrant entitling the Agent to purchase
one common share of the Company at a price of C$0.53 until March 2,
2024.
The securities offered 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 U.S. state
securities law, and may not be offered or sold in the “United
States” or to “U.S. persons” (as such terms are defined in
Regulation S under the U.S. Securities Act) absent registration
under the U.S. Securities Act and all applicable U.S. state
securities laws or compliance with an exemption from such
registration requirements. This press release shall not constitute
an offer to sell or the solicitation of an offer to buy any
securities in the United States or to U.S. persons nor shall there
by any sale of the securities in any state in which such offer,
solicitation or sale would be unlawful.
On behalf of the Board of Directors,
Trillium Gold Mines Inc.
Russell StarrChairman, President & CEO
For further information, please contact Donna
Yoshimatsu, VP Corporate Development and Investor Relations at
dyoshimatsu@trilliumgold.com, (416) 722-2456, or
info@trilliumgold.com.
Visit our website
at www.trilliumgold.com.
About Trillium Gold Mines
Inc.
Trillium Gold Mines Inc. is a growth focused
company engaged in the business of acquisition, exploration and
development of mineral properties located in the Red Lake Mining
District of Northern Ontario. As part of its regional-scale
consolidation strategy, the Company has assembled one of the
largest prospective land packages in and around the Red Lake mining
district in proximity to major mines and deposits, as well as the
Confederation Lake and Birch-Uchi greenstone belts. Recent examples
are the acquisition of the Willis property southwest of the Newman
Todd Complex, and a definitive agreement giving the Company control
over a significant portion of the Confederation Lake Greenstone
Belt to more than 100 km of prospective structures. In addition,
the Company has interests in highly prospective properties in
Shining Tree and Larder Lake, Ontario and the Matagami and
Chibougamau areas of Quebec.
Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
Cautionary note regarding
forward-looking statements
This news release contains forward-looking
information, which involves known and unknown risks, uncertainties
and other factors that may cause actual events to differ materially
from current expectations.
Forward-looking information is based on
management’s reasonable assumptions, estimates, expectations,
analyses and opinions, which are based on management’s experience
and perception of trends, current conditions and expected
developments, and other factors that management believes are
relevant and reasonable in the circumstances, but which may prove
to be incorrect. Such factors, among others, include:
impacts arising from the global disruption caused by the Covid-19
coronavirus outbreak, business integration risks; fluctuations in
general macroeconomic conditions; fluctuations in securities
markets; fluctuations in spot and forward prices of gold or certain
other commodities; change in national and local government,
legislation, taxation, controls, regulations and political or
economic developments; risks and hazards associated with the
business of mineral exploration, development and mining (including
environmental hazards, industrial accidents); inability to obtain
adequate insurance to cover risks and hazards; the presence of laws
and regulations that may impose restrictions on mining; employee
relations; relationships with and claims by local communities and
indigenous populations; availability of increasing costs associated
with mining inputs and labour; the speculative nature of mineral
exploration and development (including the risks of obtaining
necessary licenses, permits and approvals from government
authorities); and title to properties.
Readers are cautioned not to place undue
reliance on these forward-looking statements, which speak only as
of the date of this press release. The Company disclaims any
intention or obligation, except to the extent required by law, to
update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise.
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