pcNewsWire – K2 Gold Corporation (TSX-V: KTO) intends to close a non-brokered private placement of units at a price of $0.35 per unit for gross proceeds of up to $500,000, and flow-through shares at $0.40 per flow-through share for gross proceeds of up to $500,000, for aggregate gross proceeds of up to $1,000,000.
Proceeds will be used towards the company’s exploration program at the Wels Property, west-central Yukon Territory, as well as future exploration plans at the Flume, Storck and Ladue Properties (see news release dated May 25, 2017). Drilling is set to commence at the Wels Property on or around June 7, 2017. In addition funds will also be used to fulfil the option payments under the Option Agreement for Wels and for general working capital purposes.
News Release
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K2 Gold Corporation Announces Proposed Private Placement of Up to $1.0 Million
Vancouver, BC – June 5, 2017 – K2 Gold Corporation (“K2” or the “Company”) (TSX-V: KTO) is pleased to announce that it will undertake a non-brokered private placement financing of up to $1,000,000. The proceeds will be raised by the issuance of units at a price of $0.35 per unit (the “Units”) for gross proceeds of up to $500,000, and flow-through shares of K2 at a price of $0.40 per flow-through share for gross proceeds of up to $500,000, for aggregate gross proceeds of up to $1,000,000 (the “Offering”).
Each Unit will consist of one common share and one half of one share purchase warrant exercisable for a term of eighteen months (the “Warrants”). Each Warrant will entitle the holder thereof to purchase one additional common share of K2 at an exercise price of $0.55 per common share during the term of the Warrants. All units and shares purchased are subject to a four month hold period.
The proceeds of the Offering will be used towards the Company’s exploration program at the Wels Property, west-central Yukon Territory, as well as future exploration plans at the Flume, Storck and Ladue Properties (see news release dated May 25, 2017). Drilling is set to commence at the Wels Property on or around June 7, 2017. In addition funds will also be used to fulfil the option payments under the Option Agreement for Wels and for general working capital purposes.
All securities issued in connection with the private placement will be subject to a hold period expiring four months and one day following the closing date. Closing of the private placement is subject to the receipt of all necessary regulatory approvals including that of the TSX Venture Exchange.
The terms of the Offering are subject to acceptance by the TSX Venture Exchange.
About K2 Gold Corporation
K2 Gold Corporation is a mineral exploration company focused on building a portfolio of gold exploration projects in the Yukon, including the Wels Property located approximately 185 km south of Dawson City, Yukon. The Company has assembled an experienced management team and board of directors with a track record of discovery success.
For additional information please contact Stephen Swatton at 604-331-5090.
SOURCE: K2 Gold Corporation
