Getchell Gold Corp. Closes Financing Oversubscribed and Commences Geophysical Survey at Star Point Ahead of Schedule
CSE: GTCH
OTCQB: GGLDF
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Getchell Gold Corp. Closes Financing Oversubscribed
and Commences Geophysical Survey at Star Point Ahead of Schedule
Toronto, Ontario – September 29, 2020 – Getchell Gold Corp. (CS E: GTCH) (OTCQB: GGLDF)
("Getchell" or the "Company") a leading Nevada focused Gold and Copper exploration company
is pleased to announce it has closed its previously disclosed $ 1 million non-brokered private
placement oversubscribed. The Company also wishes to announce that the Induced Polarization
(“IP”) geophysical survey at the Star Point Gold-Silver-Copper Project in Pershing County, Nevada,
has commenced three weeks earlier than scheduled.
Key Highlights
x Financing oversubscribed with gross proceeds of $1,129,000 received.
x Financing improves Company’s solid financial position to pursue its objectives.
x IP survey to refine drill targets at Star Point and Star South has commenced and will take at
least 4 weeks to complete the field component, processing, interpretation, and reporting.
x Drilling planned for the first half of 2021 at Star Point and Star South.
Financing
The financing announced September 14, 2020, has been completed with the receipt of aggregate
gross proceeds of $1,129,000 in exchange for the issuance of 2, 822,500 units (each a “ Unit”) at
a price of $0.40 per Unit for (the “Private Placement”).
“The injection of these funds certainly shores up Getchell’s fi nancial position and places the
Company in a stronger stead to pursue its objectives.” states Mike Sieb, President, Getchell Gold
Corp., and “The high demand for and prompt closing of the financing is an affirming reflection on
the positive outlook for the gold market, the quality of the Company’s assets and the opportunity
that awaits to be realized.”
Each Unit consists of one common share and one-half of one warr ant (each whole warrant, a
“Warrant”) of the Company. Each Warrant entitles the holder to acquire one additional common
share at a price of $0.60 per share for a period of two years f rom the date of issuance. The
proceeds from the Private Placement will be used for exploratio n work on the Company’s
properties and for general working capital.
In connection with the Private Placement, the Company has agreed to pay finder’s fees consisting
of an aggregate of $95,000 in cash, 188,000 non-transferable co mpensation options (the
“Compensation Options”) and 54,500 non-transferable finder’s wa rrants (the “Finder’s
Warrants”). Each Compensation Option is exercisable at a price of $0.40 for a period of five years
to acquire either: (a) one unit comprised of one common share and one-half of one warrant (each
whole warrant, a “Compensation Option Warrant”) until September 28, 2022; or (b) one common
CSE: GTCH
OTCQB: GGLDF
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share after September 28, 2022. Each Compensation Option Warran t entitles the holder to
acquire one common share at a price of $0.60 per share until September 28, 2022. Each Finder’s
Warrant entitles the holder to acquire one common share at a pr i c e o f $ 0 . 4 0 p e r s h a r e u n t i l
September 28, 2022.
The securities issued in connection with the Private Placement are subject to a statutory four
month hold period expiring on January 29, 2021, in accordance with applicable securities laws.
Star Point and Star South IP Surveys
The Star Point Gold-Silver-Copper property (“Star Project”) is situated in Pershing County,
Nevada, approximately 65 kilometres to the North of the Company’s Fondaway Canyon advanced
stage exploration gold project. The Star Project comprises two main target areas:
1.) Star Point: the site of a historic, near surface, high-grade copper oxide (tenorite) mining
operation underlain by a magnetically defined anomaly exhibitin g chargeability and
resistivity highs, derived from a 2018 induced polarization (“I P”) geophysical survey; and
interpreted as potential copper sulfide mineralization, possibly intrusion related.
2.) Star South : The 2018 IP survey reported the presence of a strong conducto r below a
concentration of historic artisanal shallow mining containing s urface copper-gold oxide
mineralization (tenorite) along northeast trending faults and a long the thrust fault
boundary at surface.
The 2020 IP survey originally scheduled for commencement in mid -October has started three
weeks ahead of schedule and is anticipated to take four weeks t o complete the field survey,
processing, interpretation and reporting. The IP survey will c onsist of a total of 22.5 kms along
five survey lines and will expand upon the limited single-line 2018 IP survey at both the Star Point
a n d S t a r S o u t h t a r g e t a r e a s . T h e o b j e c t i v e i s t o r e f i n e t h e g eophysical anomalies previous
identified at both Star Point and Star South in preparation for a drill program planned for the first
half of 2021.
Scott Frostad, P.Geo., is the Qualified Person (as defined in N I 43-101) who reviewed and
approved the scientific and technical information in the news release.
About Getchell Gold Corp.
The Company is a Nevada focused gold and copper exploration com pany trading on the CSE:
GTCH and OTCQB: GGLDF. Getchell Gold is primarily directing it s efforts on its most advanced
stage asset, Fondaway Canyon, a past gold producer with a signi ficant in-the-ground historic
resource estimate. Complementing Getchell’s asset portfolio is Dixie Comstock, a past gold
producer with a historic resource and two earlier stage explora tion projects, Star Point and Hot
Springs Peak. Getchell has the option to acquire 100% of the Fo ndaway Canyon and Dixie
Comstock properties, Churchill County, Nevada.
CSE: GTCH
OTCQB: GGLDF
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The Company reiterates that its near-term strategy to advance i ts assets is not impacted by the
COVID-19 Corona virus. The Comp any continues to monitor the si tuation and is in compliance
with all government guidelines.
For further information please visit the Company’s website at www.getchellgold.com or contact
the Company at [email protected].
Mr. William Wagener, Chairman & CEO
Getchell Gold Corp.
+1 303 517 8764
The Canadian Securities Exchange has not reviewed this press re lease and does not accept responsibility
for the adequacy or accuracy of this news release. Not for dist ribution to U.S. news wire services or
dissemination in the United States.
Certain information contained herein constitutes “forward-looking information” under Canadian securities
legislation. Forward-looking infor mation includes, but is not l imited to, statements with respect to the
private placement and the completion thereof and the use of pro ceeds. Generally, forward-looking
information can be identified by the use of forward-looking terminology such as “will” or variations of such
words and phrases or statements that certain actions, events or results “will” occur. Forward-looking
statements are based on the opinions and estimates of management as of the date such statements are
made and they are subject to known and unknown risks, uncertain ties and other factors that may cause
the actual results to be materially different from those expres sed or implied by such forward-looking
statements or forward-looking information, including: the recei pt of all necessary regulatory approvals,
use of proceeds from the financing, capital expenditures and ot her costs, and financing and additional
capital requirements. Although management of Getchell have attempted to identify important factors that
could cause actual results to di ffer materially from those cont ained in forward-looking statements or
forward-looking information, there may be other factors that ca use results not to be as anticipated,
estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual
results and future events could differ materially from those an ticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking statements and forward looking information.
The Company will not update any forward-looking statements or f orward-looking information that are
incorporated by reference herein, except as required by applicable securities laws.