EGR Exploration Announces $750,000 Non-Brokered Private Placement
Trading Symbol (TSX-V: EGR)
410-325 Howe Street
Vancouver, British Columbia
Canada V6C 1Z7
Tel: (604) 687 3520
Fax: 1-888-889-4874
www.EGRExploration.com
EGR Exploration Announces $750,000 Non-Brokered Private Placement
Vancouver, BC, November 19, 2024 – EGR Exploration Ltd. (TSX-V:EGR) ("EGR" or
the "Company") is pleased to announce a non-brokered private placement of 5.0 million
units of the Company (the "Units") at a price of C$0.05 per Unit and 8.33 million flow-
through shares of the Company (the "Flow-Through Shares") at a price of C$0.06 per
Flow-Through Share for gross proceeds to the Company of up to C$750,000 (the
"Offering"). Each Unit shall consist of one common share of the Company (each, a
"Common Share") and one half of one Common Share purchase warrant (each whole
warrant, a "Warrant"). Each Warrant will be exercisable by the holder thereof to acquire
one Common Share (a "Warrant Share") at a price of C$0.10 for a period of 24 months
following the closing date of the Offering.
Use of proceeds
The gross proceeds from the issuance of the Flow-Through Shares will be used for
"Canadian Exploration Expenses" (within the meaning of the Income Tax Act (Canada))
(the "Qualifying Expenditures"), which will be renounced with an effective date no
later than December 31, 2024 to the purchasers of the Flow-Through Shares in an
aggregate amount not less than the gross proceeds raised from the issue of the Flow-
Through Shares. If the Qualifying Expenditures are reduced by the Canada Revenue
Agency, the Company will indemnify each Flow-Through Shares subscriber for any
additional taxes payable by such subscriber as a result of the Company's failure to
renounce the Qualifying Expenditures.
The proceeds from the sale of Flow-Through Shares will be used to fund this winter's
Reverse Circulation (RC) drill program on the Detour West property. The planned RC
holes are permitted to drill three fences bordering Agnico Eagles’ Detour Lake Mine
property. In addition to the exploration, proceeds from the Units private placement will
be used for corporate working capital.
CEO Comment
Daniel Rodriguez CEO & Director, commented: "This is the financing that will put drills
on the ground at Detour West. The results from this program are designed to prove the
extension of the Detour-Fenelon trend onto our property. This will lead to further RC
drilling and eventual diamond drilling."
Finder's fees of up to 7% in cash and 7% in finder’s warrants will be paid to eligible
parties. Each finder’s warrant is exercisable at C$0.10 for a period of 24 months
following the closing date of the Offering.
Insiders may participate in the Offering. The Company will rely upon exemptions from
the valuation and minority shareholder approval requirements contained in Multilateral
Instrument 61-101 – Protection of Minority Security Holders in Special Transactions.
All securities issued with respect to the Offering will be subject to a hold period of four
months and one day in accordance with applicable securities laws. The closing of the
Offering is expected to occur in mid-December 2024 and is subject to receipt of all
necessary regulatory approvals, including the TSX Venture Exchange.
This news release does not constitute an offer of securities for sale in the United States.
The securities being offered have not been, nor will they be, registered under the United
States Securities Act of 1933, as amended, and such securities may not be offered or
sold within the United States absent U.S. registration or an applicable exemption from
U.S. registration requirements.
About EGR Exploration Ltd.
EGR Exploration Ltd. is exploring for gold in the Detour-Fenelon Gold Trend,
approximately 300 kilometres north of Timmins, Ontario. EGR's 34,681 hectare Detour
West gold project is contiguous to Agnico Eagle's property which contains the Detour
Lake Gold Mine and is approximately 20 kilometres from the mine, which is also hosted
in the Abitibi Greenstone Belt.
For further information contact:
Daniel Rodriguez
CEO & Director
Phone: (604) 353-4080
Email: [email protected]
Forward‐Looking Statement (Safe Harbor Statement): This press release contains
forward-looking statements within the meaning of applicable securities laws. The use of
any of the words "anticipate", "plan", "continue", "expect", "estimate", "objective", "may",
"will", "project", "should", "predict", "potential" and similar expressions are intended to
identify forward-looking statements. In particular, this press release contains forward-
looking statements concerning the Company's exploration plans. Although the Company
believes that the expectations and assumptions on which the forward-looking
statements are based are reasonable, undue reliance should not be placed on the
forward-looking statements because the Company cannot give any assurance that they
will prove correct. Since forward-looking statements address future events and
conditions, they involve inherent assumptions, risks and uncertainties. Actual results
could differ materially from those currently anticipated due to a number of assumptions,
factors and risks. These assumptions and risks include, but are not limited to,
assumptions and risks associated with conditions in the equity financing markets, and
assumptions and risks regarding receipt of regulatory and shareholder approvals.
Management has provided the above summary of risks and assumptions related to
forward-looking statements in this press release in order to provide readers with a more
comprehensive perspective on the Company's future operations. The Company's actual
results, performance or achievement could differ materially from those expressed in, or
implied by, these forward-looking statements and, accordingly, no assurance can be
given that any of the events anticipated by the forward-looking statements will transpire
or occur, or if any of them do so, what benefits the Company will derive from them.
These forward-looking statements are made as of the date of this press release, and,
other than as required by applicable securities laws, the Company disclaims any intent
or obligation to update publicly any forward-looking statements, whether as a result of
new information, future events or results or otherwise. 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.