Beauce Gold Fields Closes $450,000 Private Placement for Its Gold and Phosphate Projects
Beauce Gold Fields Closes $450,000 Private
Placement for Its Gold and Phosphate Projects
Montreal, Quebec--(Newsfile Corp. - June 5, 2023) -
Beauce Gold Fields
(TSXV: BGF)
(Champs
D'Or en Beauce),
("BGF" or the "Company"): is pleased to announce that it is closing a $450,000
Private Placement.
Proceeds will go towards exploration work on the Company's gold and phosphate
projects as well as for general corporate purposes.
Beauce Gold Field's Phosphate Projects in Quebec
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Image: BGF Samples SB-100, T-13-3, SB-101 and SB-102 Ditton Gold Project
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The Company announces it is closing a non-brokered private placement of 5,000,000 Flow-Through
units at $0.06 per unit for gross proceeds of $300,000 and 3,000,000 units at $0.05 per unit for gross
proceeds of $150,000.
Each Flow-through unit will be comprised of one (1) Flow-through common share and
one
common
share purchase warrant of the company. Each
warrant will entitle the holder thereof to purchase one
common share of the capital stock of the company at a price of $0.10 for a period of 24 months from the
date of closing of the placement and each unit will be
comprised of one common share and one
common share purchase warrant of the company which will entitle the holder thereof to purchase one
common share of the capital stock of the company at a price of $0.08 for a period of 36 months from the
date of closing of the placement. The placement is subject to standard regulatory approvals including the
approval of the exchange. The proceeds of the placement will be used: (i) to finance exploration and (ii)
for general corporate purposes.
In connection with the placement, the company will pay as cash finders' fees, $17,489.60 to Jean-David
Moore of Quebec City, Quebec and $2,800.00 to StephenAvenue Securities Inc, of Toronto, Ontario,
The company will also issue 304,560 warrants to Jean-David Moore and 56,000 warrants to
StephenAvenue Securities Inc.
Those warrants related to Flow-Through unit issuance as well as warrants
related to common unit issuance will have the same rights and the same hold-period as the placement
warrants.
Patrick Levasseur, an Insider of the company, subscribed for 417,000 Flow-Through units in the
placement.
Following the completion of the private placement, Mr Levasseur will
beneficially own or
exercise control or direction over, directly or indirectly, 6,181,622 shares representing 8.28% of the
issued and outstanding common shares of the company.
The participation of Mr Patrick Levasseur in the private placement constitutes a related party transaction
within the meaning of Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special
Transactions, and TSX Venture Exchange Policy 5.9 -- Protection of Minority Security Holders in Special
Transactions. In connection with this related party transaction, the company is relying on the formal
valuation and minority approval exemptions of subsections 5.5(a) and 5.7(1)(a) of MI 61-101,
respectively, as the fair market value of the portion of the private placement subscribed by Mr Levasseur
does not exceed 25 per cent of the company's market capitalization. The board of directors of the
company has approved the private placement, including the participation of Mr. Levasseur.
About Phosphate
Phosphate is a critical nutrient for plant growth and plays a crucial role in agriculture. It is commonly used
in the form of fertilizers to enhance crop yields. However, the global demand for phosphate is increasing
rapidly due to population growth and dietary changes, which could lead to a depletion of global
phosphate reserves in the near future, also known as "Peak Phosphate."
In addition to its use in agriculture, phosphate is also a key component in the production of lithium iron
phosphate (LFP) batteries, which are increasingly used in electric vehicles (EVs) due to their high
energy density and safety features. The LFP battery market is projected to grow significantly in the
coming years, driven by the global push towards EVs.
Tesla, Renault, Volkswagen, and Ford are just a
few examples of electric vehicle (EV) car companies currently using lithium iron phosphate (LFP)
batteries.
The use of phosphate in LFP batteries creates new demand for this critical resource, which could
exacerbate the issue of Peak Phosphate.
Hence the importance of exploring for further new phosphate
reserves.
About The Ditton Placer Channel
The placer channel is in the town of Chartierville, Quebec.
The channel is 4 km east of the historical
Mining Brook Placer gold mine and 6 km northwest of the US-New Hampshire border.
It is also located
115 km south of the Company's Beauce Gold project in St-Simon-Les-Mine.
A sampling program by the Company recovered gold from every sample taken throughout the Ditton
quarry (BGF press release January 20, 2022), bringing about the discovery of the Ditton placer gold
channel. Further insights to the existence of a channel were gained from the 1980s historical exploration
reports of the regional geology and geophysics.
It also revealed that the quarry was an excavated pit of
an exposed layer of a Tertiary placer channel.
Results from the company's 2022 seismic refraction
survey lines further support the existence of a paleochannel.
The channel trends southwest to northeast and is believed to open in both directions.
Potential for Lode Gold Discoveries
The recovered gold grains from showed delicate angular shapes suggesting little transportation. A
proximal bedrock source of the placer channel could be from the eroded Eastern flank of the valley wall.
The bedrock lithology holds a contact point between altered volcanic rock and schist rock. Historical
surveys indicated strong magnetic lineaments favorable to hosting gold-bearing quartz lenses.
The Bella Fault line is estimated to run along strike 1 km east of the placer channel where Cache
Exploration in 1985 put down 3 diamond drill holes (DDH) along Rang Dix road to test a strong shear
zone. The holes intersected andesites containing numerous quartz stringers mineralized with pyrite and
much tourmaline.
Of interest, in the drill log for DDH number S-2 states that visible gold was noted at 240
meters (GM42843).
Cache did not complete the recommended follow-up drilling to test this anomaly.
About Beauce Gold Fields
Beauce Gold Fields is a gold exploration company focused on placer to hard rock exploration in the
Beauce region of Southern Quebec.
The Company's objective is the trace old placer gold workings back
to a bedrock source to uncover economic lode gold deposits.
The Company's flagship property is the St-
Simon-les-Mines Gold project site of Canada's first gold rush that pre-dates the Yukon Klondike.
The
Beauce region hosted some of the largest historical placer gold mines in Eastern North America that
were active from 1860s to the 1960s It produced some of the largest gold nuggets in Canadian mining
history (50oz to 71oz). (Source Sedar: 43-101 Report - Beauce July 4
th
2018, , Author B. Violette)
Beauce Gold Fields website
www.beaucegold.com
Disclaimers:
This press release contains certain forward-looking statements, including, without limitation,
statements containing the words "may", "plan", "will", "estimate", "continue", "anticipate", "intend",
"expect", "in the process" and other similar expressions which constitute "forward-looking information"
within the meaning of applicable securities laws. Forward-looking statements reflect the Company's
current expectation and assumptions, and are subject to a number of risks and uncertainties that
could cause actual results to differ materially from those anticipated. These forward-looking
statements involve risks and uncertainties including, but not limited to, our expectations regarding
mineral exploration. Such statements reflect the current views of the Company with respect to future
events and are subject to certain risks and uncertainties and other risks detailed from time-to-time in
the Company's on-going filings with the securities regulatory authorities, which filings can be found at
www.sedar.com
. Actual results, events, and performance may differ materially. Readers are cautioned
not to place undue reliance on these forward-looking statements. The Company undertakes no
obligation to publicly update or revise any forward-looking statements either as a result of new
information, future events or otherwise, except as required by applicable securities laws.
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.
For further information contact
Patrick Levasseur, President and CEO Tel: (514) 262-9239
www.beaucegold.com
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