Not for distribution to U.S. news wire services or dissemination in the United States
VANCOUVER, British Columbia, May 29, 2019 (GLOBE NEWSWIRE) -- GT Gold Corp. ("GT Gold" or the “Company”) (GTT.V) is pleased to report that it has closed its C$17.6 million flow-through financing and strategic investment by Newmont Goldcorp Corporation (“Newmont Goldcorp”) (NYSE: NEM, TSX: NGT) 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 C$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% 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”). The Qualifying Expenditures will be renounced in favour of the flow-through share purchasers with an effective date of no later than December 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.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities 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 state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
About GT Gold
GT Gold Corp. 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, BC, 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
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 favorable 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. Newmont Goldcorp is an industry leader in value creation, supported by robust safety standards, superior execution and technical proficiency. Newmont Goldcorp was founded in 1921 and has been publicly traded since 1925.
For further information, please contact:
|GT Gold Corp. |
President and Chief Executive Officer
Tel: (647) 256-6752
|GT Gold Corp. |
Charles J. Greig, P.Geo
Vice President, Exploration
Tel: (250) 492-2331
|GT Gold Corp. |
Director, Corporate Development
Tel: (647) 256-6754
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.