Stellar AfricaGold closes $451K first tranche

pcNewsWireStellar AfricaGold Inc. (TSX-V: SPX) has completed a first tranche of proposed $760,500 private placement, issuing 9,010,000 units at $0.05 per unit for gross proceeds of $450,500. The company will close one or more additional tranches in the coming days to complete the Offering.

Proceeds will be used to advance the company’s bulk sampling program at Zone B3 Balandougou and for general working capital.

Press Release

Stellar AfricaGold – Conditional Approval and First Tranche Closing on Private Placement

MONTREAL, QUEBEC–(Marketwired – May 16, 2017) – John Cumming, President and Chief Executive Officer of Stellar AfricaGold Inc., (TSX VENTURE:SPX) (“Stellar” or the “Company”) announces:

CLOSING OF FIRST TRANCHE OF PRIVATE PLACEMENT

Further to Stellar’s news release of April 25, 2017 The Company has received Conditional Approval for its non-brokered private placement offering (the “Offering”) of 15,210,000 units at a price of $ 0.05 per unit for gross proceeds of $ 760,500.

The Company has closed the first tranche of the Offering issuing 9,010,000 units at a price of five cents per unit for aggregate gross proceeds of $ 450,500. The Company will close one or more additional tranches in the coming days to complete the Offering.

Each unit is comprised of one common share and one share purchase warrant entitling the holder to purchase one additional common share at an exercise price of ten cents for a period 12 months .

The net proceeds from the offering for will be used to advance the Comany’s bulk sampling program at Zone B3 Balandougou and for general working capital.

ABOUT STELLAR AFRICAGOLD INC.

Stellar AfricaGold Inc. is a Canadian gold exploration Company based in Montreal, Quebec, with operations concentrated mainly in West Africa and in Quebec.

The Company is currently developing the promising gold potential of the advanced exploration stage Balandougou project in Guinea, including a 15,000-tonne bulk sample program. (see News Release March 1, 2017) The Company also owns the Namarana project in neighbouring Mali. In Quebec, the Company owns 100% of the Opawica Project in the Chibougamau mining camp.

The technical content of this press release has been reviewed and approved by independent consultant Greg Isenor, P. Geo, a Qualified Person as defined in NI 43-101.

On Behalf of the Board

John Cumming, LLM, President & CEO

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.

Contact Information

Stellar AfricaGold Inc.
Maurice Giroux
VP Exploration
514-866-6299
mgiroux.stellar@gmail.com
www.stellarafricagold.com