2014-01-03 21:47:29 -
Toronto, Ontario CANADA, January 03, 2014 /FSC/ - West Red Lake Gold Mines Inc.("West Red Lake Gold" or the "Company") (CNSX: RLG) announced today that it has completed a non-brokered private placement (the "Offering") of flow through units for aggregated gross proceeds of $325,000.
The Company issued 6,500,000 "flow through" units (the "Flow Through Units") at a price of $0.05 per Flow Through Unit. Each Flow Through Unit consists of one common share in the capital of the Company issued on a "flow through" basis pursuant to the Income Tax Act (Canada) and one half of a common share purchase warrant (each whole warrant a "Warrant"). Each Warrant issued in connection with the Offering entitles its holder to purchase one
common share in the capital of the Company at an exercise price of $0.10 per share for a period of 24 months from the date of issuance.
Gross proceeds from the Offering of the Flow Through Units will be used by the Company for exploration expenditures on its 3100 hectare property package containing 3 former producing gold mines located within the Company's West Red Lake Project in the prolific Red Lake Gold District of Northwestern Ontario.
In connection with the Offering, West Red Lake Gold paid finders' fees consisting of $12,800 in cash and 256,000 common shares in the capital of the Company to qualified registrants. As a result of the Offering, Accilent Capital Management Inc., an investment advisory services firm and principal shareholder of the Company through its involvement as a finder and subscriptions of Flow Through Units through its affiliate Pavilion Flow Through L.P., has increased its direct and indirect holding of the voting securities of the Company from 23.42% to 28.85% on a fully diluted basis.
West Red Lake Gold is also pleased to announce the appointment of Mr. Daniel Pembleton to the Board of Directors of the Company effective December 31, 2013. Mr. Pembleton is the President and Chief Investment Officer of Accilent Capital Management Inc. which he founded in 2002 and has an Honours BA in Economics and Business from Brock University, an MBA from the University of Western Ontario's Ivey School of Business, and obtained a Chartered Financial Analyst (CFA) designation in 1998 from the CFA Institute.
West Red Lake Gold Mines Inc. is a Toronto-based minerals exploration company focused on gold exploration and development in the prolific Red Lake Gold District of Northwestern Ontario, Canada. The Red Lake Gold District is host to some of the richest gold deposits in the world and has produced over 30 million ounces of gold from high grade zones. The company has assembled a significant property position totalling 3100 hectares in west Red Lake (the "West Red Lake Project") which contains 3 former producing gold mines. The Mount Jamie Mine and Red Summit Mine properties are 100% owned by the company and the Rowan Mine property is held in a 60% owned joint venture with Red Lake Gold Mines, a partnership of Goldcorp Inc. and Goldcorp Canada Ltd. The properties cover a 12 kilometre strike length along the West Red Lake Trend and the company continues to explore these properties both along strike and to depth. To find out more about West Red Lake Gold, please visit our website at www.westredlakegold.com
For more information, please contact: Thomas W. Meredith, Executive Chairman
Phone: 416-203-9181 Email: email@example.com
The Canadian National Stock Exchange has neither approved nor disapproved the contents of this news release.
Certain statements contained in this news release constitute "forward looking statements". These statements are based on current expectations of management, however, they are subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from the forward-looking statements in this news release. Readers are cautioned not to place undue reliance on these statements. West Red Lake Gold Mines Inc. does not undertake any obligation to revise or update any forward-looking statements as a result of new information, future events or otherwise after the date hereof, except as required by securities laws.
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Source: West Red Lake Gold Mines Inc. (CNSX: RLG) www.westredlakegold.com
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