2012-09-28 00:17:28 -
Vancouver, British Columbia (September 27, 2012) - Mark McLeary, President and CEO, Newton Gold Corp. (TSX Venture: NWG, the "Company") announced the commencement of a non-brokered private placement offering of up to 10,000,000 units (each, a "Unit") at a price of $0.03 per Unit for gross proceeds of $300,000 (the "Offering").
Each Unit will consist of one common share and one common share purchase warrant (a "Warrant"). Each Warrant will entitle the holder to purchase one additional common share of the Company at $0.05 per share for a period of 12 months from the date of issue of the Unit.
Newton Gold Corp. intends to use the proceeds of the private placement to pay current liabilities of approximately $72,000, contingent liabilities of
approximately $100,000 and for general working capital. The Company may, in appropriate circumstances, pay a finder's fee in connection with the sale of the Units.
Closing of the offering is subject to customary conditions including TSX Venture Exchange acceptance. Any securities issued pursuant to the Offering will be subject to a hold period of four months and one day after closing of the Offering under applicable Canadian securities laws. The Offering has been approved by the board of directors of the Company, excluding those directors that are purchasing Units in this Offering.
About Newton Gold Corp.
Newton Gold Corp. is a British Columbia focused exploration company with an exploration project, the Chuchi property, located in central British Columbia. The Company has an experienced management team with a growth strategy to develop a diversified portfolio of mining projects that can be taken into production. The company's main objective is to add shareholder value through efficient exploration, strategic acquisitions and joint ventures, and effective marketing while maintaining a lower risk profile through project diversification and sound financial management.
ON BEHALF OF THE BOARD OF DIRECTORS
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.
Forward Looking and other Cautionary Information
This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts that address exploration drilling, exploitation activities and other related events or developments are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploration and exploitation successes, continuity of mineralization, uncertainties related to the ability to obtain necessary permits, licenses and title and delays due to third party opposition, changes in government policies regarding mining and natural resource exploration and exploitation, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements.
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