American Eagle Closes NAK Acquisition and $1.5 Million Financing
American Eagle Closes NAK Acquisition and
$1.5 Million Financing
TORONTO
,
Dec. 24, 2021
/CNW/ - American Eagle Gold Corp. (TSXV: AE) ("
American Eagle
" or
the "
Company
") is pleased to announce that it has received final approval from the TSX Venture
Exchange (the "
Exchange
") and has closed on the acquisition of an option to acquire a 100%
interest in the NAK property ("
Project
") in the Babine Copper-Gold Porphyry district in central
British
Columbia
. American Eagle also announces that it has closed on a
$1,510
,774 Flow-Through
Financing.
NAK Acquisition
The NAK acquisition offers American Eagle Gold a valuable risk-reward proposition to drill test a
new geophysical feature within a well-understood geologic environment. NAK's known copper-gold
porphyry mineralization is open at depth and is defined by a compelling geophysical
signature analogous to Newcrest's
Red Chris Mine
and Newmont's Tatogga project located in
Northwest BC. The acquisition of NAK was supported by the analysis and reinterpretation of
geochemical, geophysics and drilling data, all of which demonstrated coincidental anomalies.
Click Here For Presentation on NAK Acquisition
Private Placement Financing Closed
The Company has closed its previously announced private placement (the "
Offering
") of 10,791,244
flow-through units (the "
FT Units
") at a price of
$0.14
per FT Unit, for gross proceeds of
$1,510,774
. Each FT Unit consists of one common share of the Company to be issued as a "flow-
through share" within the meaning of the Income Tax Act (
Canada
) (a "
FT Share
") and one half of
one common share purchase warrant (each whole warrant, a "
Warrant
"). Each Warrant will entitle
the holder thereof to purchase one common share at a price of
C$0.25
at any time for a period of
24 months from the closing of the Offering.
The funds will go towards the advancement and exploration of the Project.
The gross proceeds from the issue and sale of the FT Shares will be used for Canadian exploration
expenses and will qualify as "flow-through mining expenditures", as defined in subsection 127(9) of
the Income Tax Act (
Canada
), which will be incurred on or before
December 31, 2022
and
renounced to the subscribers with an effective date no later than
December 31, 2021
in an
aggregate amount not less than the gross proceeds raised from the issue and sale of the FT
Shares.
As consideration for services provided by certain finders in connection with the Offering, the
Company paid finder's fees consisting of (i) cash consideration of
$98,754.19
, and (ii) 705,387
finder's warrants, each such finder's warrant entitling the holder to obtain one common share of the
Company (a "
Finder's Share
") at a price of
$0.14
per Finder's Share for a period of 24 months
from the closing of the Offering.
All securities issued and sold pursuant to the Offering will be subject to a four-month-and-one-day
hold period in accordance with applicable Canadian securities laws. Closing of the Offering was
subject to all necessary regulatory approvals including final approval from the TSX Venture
Exchange.
About American Eagle Gold Corp.
American Eagle Gold is traded on the TSX Venture Exchange under the symbol 'AE' and is focused
on exploring its flagship property, Golden Gate. The Property is on the Cortez Trend, which hosts
three large Carlin-type gold deposits operated by Barrick and Newmont's Joint Venture,
Nevada
Gold Mines
(Pipeline,
Cortez Hills
and Goldrush). The Property is located 10 km south of Cortez Hills
and 5 km south of Goldrush and shows many of the same geological characteristics as at the two
deposit areas.
QP Statement
American Eagle's Vice President of Exploration,
Mark Bradley
, B.Sc., M.Sc., P.Geo., a Certified
Professional Geologist and 'qualified person' for
Canada's
National Instrument 43-101 Standards of
Disclosure for Mineral Properties, has verified and approved the information contained in this news
release.
www.americaneaglegold.ca
Forward-Looking Statements
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
TSX Venture Exchange policies) accepts responsibility for the adequacy or accuracy of this release.
Certain information in this press release may contain forward-looking statements. Forward-looking
statements in this press release include, but are not limited to, statements regarding whether the
Company will be able to exercise its option to acquire the Project as anticipated, and whether the
Company's exploration efforts on the Project produce the results that are anticipated by
management. This information is based on current expectations that are subject to significant risks
and uncertainties that are difficult to predict. Actual results might differ materially from results
suggested in any forward-looking statements. American Eagle Gold Corp. assumes no obligation to
update the forward-looking statements, or to update the reasons why actual results could differ from
those reflected in the forward looking-statements unless and until required by securities laws
applicable to American Eagle Gold Corp. Additional information identifying risks and uncertainties is
contained in filings by American Eagle Gold Corp. with Canadian securities regulators, which filings
are available under American Eagle Gold Corp. profile at
www.sedar.com
.
SOURCE
American Eagle Gold Corporation
View original content:
http://www.newswire.ca/en/releases/archive/December2021/24/c1445.html
%SEDAR: 00051688E
For further information:
Anthony Moreau, Chief Executive Officer, Phone:
416.644.1567, Email:
CO: American Eagle Gold Corporation
CNW 06:00e 24-DEC-21