Mr. Steve Burleton of GT Gold reports
GT GOLD CLOSES C$17.6 MILLION FINANCING AND STRATEGIC INVESTMENT BY NEWMONT GOLDCORP CORPORATION
GT Gold Corp.
has closed its $17.6-million flow-through financing and strategic investment by Newmont Goldcorp Corp. announced on May 9, 2019. The company intends to use the funds raised to accelerate the exploration and development activities at the Tatogga property located in British Columbia's Golden Triangle.
The financing consisted of a $17.6-million private placement of 11,489,601 flow-through common shares priced at $1.53 per flow-through common share. Pursuant to the financing, Newmont Goldcorp has acquired 11,489,601 common shares as a back-end purchaser and currently holds 9.9 per cent of GT Gold's outstanding shares. In connection with the financing transaction, GT Gold and Newmont Goldcorp have entered into an investor rights agreement.
The proceeds received by the company from the sale of the flow-through shares will be used to incur eligible Canadian exploration expenses (CEE) that qualify as flow-through mining expenditures (as such terms are defined in the Tax Act) related to the company's projects located in British Columbia. The qualifying expenditures will be renounced in favour of the flow-through share purchasers with an effective date of no later than Dec. 31, 2019, in the aggregate amount of not less than the total amount of the gross proceeds raised from the issuance of the flow-through shares. Pursuant to applicable Canadian securities laws, the flow-through common shares will be subject to a hold period expiring four months and one day from the date hereof.
About GT Gold Corp.
GT Gold is focused on exploring for base and precious metals in the geologically fertile terrain of British Columbia's renowned Golden Triangle. The company's flagship asset is the wholly owned, 46,827-hectare Tatogga property, located near Iskut, B.C., upon which it achieved two significant discoveries in 2017 and 2018 at its Saddle prospect: a near-surface bulk-tonnage and potential deep high-grade underground-style epithermal gold-silver vein system at Saddle South and, close by at Saddle North, a large-scale, richly mineralized porphyry gold-copper-silver mineralized intrusion.
About Newmont Goldcorp Corp.
Newmont Goldcorp is the world's leading gold company and a producer of copper, silver, zinc and lead. Its world-class portfolio of assets, prospects and talent is anchored in favourable mining jurisdictions in North America, South America, Australia and Africa. Newmont Goldcorp is the only gold producer listed in the S&P 500 Index and is widely recognized for its principled environmental, social and governance practices.
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