Cabral Gold Announces Closing of First Tranche of Private Placement
Cabral Gold Announces Closing of First
Tranche of Private Placement
Vancouver, British Columbia--(Newsfile Corp. - November 28, 2022) -
Cabral Gold Inc.
(TSXV: CBR)
(OTC: CBGZF)
("Cabral" or the
"
Company
"
)
is pleased to announce the closing of the first tranche of
its previously announced non-brokered private placement (the "
Private Placement
") consisting of a
total of 6,200,000 units (the "
Units
") at a price of $0.20 per unit for gross proceeds of $1,240,000.
Each Unit consists of one common share in the capital of the Company (a "
Common Share
") and one
common share purchase warrant (a "
Warrant
").
Each Warrant is exercisable for two years following the
first closing of the Private Placement (the "
Closing
") and will entitle the holder to purchase one Common
Share at an exercise price of $0.30 in the first year following Closing, or $0.40 per Common Share in the
second year following Closing.
The Company intends to use the net proceeds from the Private Placement for exploration and
development activities, repayment of operating liabilities and general working capital purposes.
In connection with closing the first tranche of the Private Placement, the Company incurred finder's fees
totaling $3,000.
The Company also issued an aggregate of 15,000 finder warrants ("
Finder Warrants
").
Each Finder Warrant entitles the holder to purchase one common share of the Company at a purchase
price of $0.20 for a period of 24 months following Closing.
All securities issued in connection with the Private Placement are subject to a statutory hold period of
four months plus a day from the date of issuance in accordance with applicable securities legislation and
the policies of the TSX Venture Exchange, pursuant to which they may not be sold or transferred until
March 26, 2023.
Stock option plan
The Company further announces that its shareholders have approved the Company's amended 10%
rolling stock option plan at the annual meeting of shareholders held on June 29, 2022.
The principal
amendments to the stock option plan ensure compliance with the revised Policy 4.4 of the TSX Venture
Exchange ("
TSXV
").
The maximum number of common shares which may be issued under the stock
option plan is 10% of the Company's issued and outstanding share capital, less the aggregate number
of restricted share units granted as at the date of grant.
The stock option plan has a "rolling" limit, as the
number of common shares reserved for issuance pursuant to the grant of stock options will automatically
increase. as the Company's issued and outstanding share capital increases.
The limit includes
outstanding stock options previously granted
About Cabral Gold Inc.
The Company is a junior resource company engaged in the identification, exploration and development
of mineral properties, with a primary focus on gold properties located in Brazil.
The Company has a
100% interest in the Cuiú Cuiú gold district located in the Tapajós Region, within the state of Pará in
northern Brazil. Two main gold deposits have so far been defined at the Cuiú Cuiú project which contains
National Instrument 43-101 compliant Indicated resources of 21.6Mt @ 0.87 g/t gold (604,000 oz) and
Inferred resources of 19.8Mt @ 0.84 g/t gold (534,500 oz).
The Tapajós Gold Province is the site of the largest gold rush in Brazil's history producing an estimated
30 to 50 million ounces of placer gold between 1978 and 1995. Cuiú Cuiú was the largest area of placer
workings in the Tapajós and produced an estimated 2Moz of placer gold historically.
FOR FURTHER INFORMATION PLEASE CONTACT:
"Alan Carter"
President and Chief Executive Officer
Cabral Gold Inc.
Tel: 604.676.5660
Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in
the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Forward-looking Statements
This news release contains certain forward-looking information and forward-looking statements within
the meaning of applicable securities legislation (collectively "forward-looking statements").
The use of
the words "will", "expected" and similar expressions are intended to identify forward-looking statements.
These statements involve known and unknown risks, uncertainties and other factors that may cause
actual results or events to differ materially from those anticipated in such forward-looking statements.
Such forward-looking statements should not be unduly relied upon.
This news release contains forward-
looking statements and assumptions pertaining to the following:
strategic plans and future operations,
and results of exploration.
Actual results achieved may vary from the information provided herein as a
result of numerous known and unknown risks and uncertainties and other factors.
The Company believes
the expectations reflected in those forward-looking statements are reasonable, but no assurance can be
given that these expectations will prove to be correct.
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A
VIOLATION OF U.S. SECURITIES LAWS
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