Canagold Resources Arranges $4M Financing
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CANAGOLD RESOURCES ARRANGES $4M FINANCING
Vancouver, B.C. – September 1, 2022 - Canagold Resources Ltd. (TSX: CCM, OTC-QB: CRCUF, Frankfurt:
CANA) (the “Company” or “Canagold”), is pleased to announce it has arranged up to $4 million in debt
and equity financing to fund the Company’s drilling activities for the remainder of 2022. Specifically,
Canagold has arranged a $1.5M charity flow-through financing (the “Charity FT”) that will be priced at a
premium to the current market price and determined in the context of the market upon completion of
the Charity FT.
In addition to the Charity FT, Sun Valley Investments (“Sun Valley”) has provided an interim unsecured
credit facility of $2.5M, bearing interest at a favourable rate of 5.5% per annum.
It is anticipated that Sun Valley, or an affiliate thereof, will participate in the Charity FT financing and as
such Sun Valley or an affiliate thereof will increase its ownership in the Company to over 20%.
Therefore, as required by the policies of the TSX, the Company will be calling a Special General Meeting
(“SGM Meeting”) as soon as is practically possible, to approve Sun Valley’s participation in the offering
and the resultant change in control arising therefrom.
The Charity FT and the anticipated change in control are subject to TSX approval and the approval of
Company shareholders at the SGM Meeting, which is anticipated to be called immediately and held as
soon as is reasonably practicable.
Sun Valley is an insider of the Company and the transactions contemplated herein and are therefore
considered “related party transactions” for the purposes of Multilateral Instrument 61-101 Protection of
Minority Security Holders in Special Transactions (“MI 61-101”) and TSX Policies and the Company is
relying upon certain exemptions from the formal valuation and disinterested shareholder approval
requirements for the transactions.
About Canagold
Canagold Resources Ltd. is a growth-oriented gold exploration company focused on advancing the New
Polaris Project through feasibility and permitting. Canagold is also seeking to grow its assets base
through future acquisitions of additional advanced projects. The Company has access to a team of
technical experts that can help unlock significant value for all Canagold shareholders.
“Catalin Kilofliski”
Catalin Kilofliski
Chief Executive Officer
For further information please contact:
Knox Henderson, VP Corporate Development
Tel: (604) 604-416-0337; Cell: (604) 551-2360
Toll Free: 1-877-684-9700
Email: [email protected]
Website: www.canagoldresources.com
Neither the T oronto Stock Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements
This news release contains “forward-looking statements” within the meaning of the United States private securities
litigation reform act of 1995 and “forward-looking information” within the meaning of applicable Canadian
securities legislation. Statements contained in this news release that are not historical facts are forward-looking
information that involves known and unknown risks and uncertainties. Forward -looking statements in this news
release include, but are not limited to, statements with respect to the future performance of Canag old, and the
Company's plans and exploration programs for its mineral properties, including the timing of such plans and
programs. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "has
proven", "expects" or "does not expect", "is expected", "potential", "appears", "budget", "scheduled", "estimates",
"forecasts", "at least", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words
and phrases or state that certain actions, events or results "may", "could", "would", "should", "might" or "will be
taken", "occur" or "be achieved".
Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause
the actual results, performance or achievements of the Company to be materially different from any future results,
performance or achievements expressed or implied by the forward-looking statements. Such risks and other factors
include, among others risks related to the uncertainties inherent in the estimation of mineral resources; commodity
prices; changes in general economic conditions; market sentiment; currency exchange rates; the Company's ability
to continue as a going concern; the Company's ability to raise funds through equity financing s; risks inherent in
mineral exploration; risks related to operations in foreign countries; future prices of metals; failure of equipment or
processes to operate as anticipated; accidents, labor disputes and other risks of the mining industry; delays in
obtaining governmental approvals; government regulation of mining operations; environmental risks; title disputes
or claims; limitations on insurance coverage and the timing and possible outcome of litigation. Although the
Company has attempted to identify important factors that could affect the Company and may cause actual actions,
events or results to differ materially from those described in forward-looking statements, there may be other
factors that cause actions, events or results not to be as anticipate d, estimated or intended. There can be no
assurance that forward-looking statements will prove to be accurate, as actual results and future events could
differ materially from those anticipated in such statements. Accordingly, do not place undue reliance o n forward-
looking statements. All statements are made as of the date of this news release and the Company is under no
obligation to update or alter any forward-looking statements except as required under applicable securities laws.