Granada Oversubscribes and Closes 2nd Tranche Private Placement
Granada Oversubscribes and Closes 2nd Tranche Private
Placement
ROUYN NORANDA, QC
,
Feb. 9, 2018
/CNW/ - Granada Gold Mine Inc. (TSX.V: GGM) ("Granada Gold" or the "Company") is please
to announce that further to is news releases dated
January 22
and 24, 2018, the Company has over-subscribed the 2nd tranche of its
private placement raising additional gross proceeds of
$1,226,050
. The Company has issued 4,904,200 units at a price of
$0.25
per
unit. The Company has raised a total of
$2,056,550
.
Each unit comprises one common share and one share purchase warrant. Each warrant will entitle the holder thereof to purchase one
additional common share of the Company at an exercise price of
$0.35
per share for a period of two years from closing, subject to
TSX Venture Exchange ("Exchange") approval.
Finder's fees were paid in connection with the private placement in the amount of
$9,150
cash and 26,600 broker warrants on the
same terms as the purchaser warrants, subject to Exchange approval.
All securities issued in connection with the private placement are subject to a four-month and a day hold period expiring on
June 10,
2018
, in accordance with applicable Securities Laws.
The proceeds of the Private Placement will be used for surface exploration, trenching, and historical resampling of drill core on the
Company's Granada Gold Property in Québec and for general working capital purposes.
About Granada Gold Mine Inc.
Granada Gold Mine Inc. is developing the Granada Gold Property near
Rouyn-Noranda, Quebec
. The property includes the former
Granada
gold mine which produced more than 50,000 ounces of gold in the 1930's before a fire destroyed the surface buildings. The
highly prolific
Cadillac Trend
, which has been the source of more than 50 million ounces of gold produced in the past century on a line
running from
Val-d'Or
to
Rouyn-Noranda
, cuts through the north part of the property.
An updated Mineral Resource Estimate and revised Block Model dated
June 30, 2017
, with effective date of
May 16, 2017
, includes
the first material estimate of high-grade gold resources discovered in zones at depth immediately north of the LONG Bars Zone open-
pit deposit.
An initial Inferred underground resource of
10,386,500
tonnes grading
4.56
g/t Au at a cut-off grade of
1.5
g/t (
1.5
million oz. Au) has
been outlined along
600
meters of strike, north of the original near-surface discovery at
Granada
. Open-pit-constrained resources
have
625,000
ounces Measured at
1.14
g/t Au and
182,700
ounces Indicated at
1.26
g/t Au with a cut-off grade of 0.39 g/t Au
(
807,700
ounces M&I at
1.16
g/t Au) representing a major increase in Block Model estimates for Granada vs. 2012 Block Model.
The Company has obtained all necessary permits for the initial mining phase known as the "Rolling Start" for which stripping has
already begun, and has been conducting exploration drilling in order to expand the reported mineral resource for the property.
Additional information is available at
www.granadagoldmine.com
.
"Frank J. Basa"
Frank J. Basa P. Eng
.
President and Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking
statements including but not limited to comments regarding the timing and content of upcoming work programs, geological
interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events
and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently
anticipated in such statements.
SOURCE
Granada Gold Mine Inc.
View original content: http://www.newswire.ca/en/releases/archive/February2018/09/c5681.html
%SEDAR: 00004087E
For further information:
Frank J. Basa, P. Eng., President and CEO at 1-819-797-4144 or Wayne Cheveldayoff, Investor Relations,
at 416-710-2410 or [email protected]
CO: Granada Gold Mine Inc.
CNW 17:40e 09-FEB-18