TORONTO, December 15, 2021 / CNW / – American Eagle Gold Corp. (TSXV: AE) (“American eagle“or the”Society“) would like to announce that it intends to complete a non-brokered private placement (the” Offer “) of a maximum of 7,142,857 flow-through units of the Company (the” FT Units “) at a price of CA $ 0.14 per FT Unit for the gross proceeds accruing to the Company from $ 1,000,000 CAD. Each FT unit will consist of one common share of the Company which will be issued as a âflow-through shareâ within the meaning of the Income Tax Act (Canada) (each, one âFT Shareâ) and one-half common share purchase warrant (each entire warrant, one âWarrantâ). Each warrant will allow its holder to purchase one common share at the price of CA $ 0.25 at any time two years from the closing of the Offer.
The proceeds of the placement will be used for expanded exploration work at the NAK project recently purchased by the Company and located in the Babine Copper-Gold Porphyry district in central British Columbia.
The gross proceeds from the issuance of FT shares will be used for âexploration expenses in Canadaâ (within the meaning of the Income Tax Act (Canada)) (the âEligible Expensesâ), which will be waived with an effective date no later than December 31, 2021 to buyers of FT Shares for an aggregate amount not less than the gross proceeds from the issue of FT Shares. If the qualifying expenses are reduced by the Canada Revenue Agency, the Company will indemnify each subscriber of FT shares from any additional tax payable by such subscriber as a result of the Company’s failure to waive the qualifying expenses.
About American Eagle Gold Corp.
American Eagle Gold is listed on the TSX Venture Exchange under the symbol “AE” and is focused on exploring its flagship property, Golden Gate. The property is located on the Cortez Trend, which hosts three large Carlin-type gold deposits operated by the Barrick and Newmont joint venture, Nevada Gold Mines (Pipeline, Hills of Cortez and Gold Rush). The property is located 10 km south of Cortez Hills and 5 km south of Goldrush and exhibits many of the same geological features as in the two deposit areas.
Neither the 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. Both the completion of the Offering and the purchase of the NAK Project remain subject to the approval of the TSX Venture Exchange. Certain information contained in this press release may contain forward-looking statements. The forward-looking statements contained in this press release include, without limitation, statements regarding the completion of the Offer. This information is based on current expectations which are subject to significant risks and uncertainties which are difficult to predict. Actual results may differ materially from results suggested in forward-looking statements. American Eagle Gold Corp. assumes no obligation to update any forward-looking statements or to update the reasons why actual results might differ from those reflected in forward-looking statements unless and until applicable securities laws. American Eagle Gold Corp. information identifying the risks and uncertainties is contained in the documents filed by American Eagle Gold Corp. from Canadian securities regulators, which documents are available under the profile of American Eagle Gold Corp. at www.sedar.com.
SOURCE American Eagle Gold Corporation
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