Warrior Gold Announces Closing of Private Placement
Warrior Gold Announces Closing of Private Placement
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES
TORONTO--(BUSINESS WIRE)--December 24, 2020--Warrior Gold Inc. (TSX-V - WAR)
(“Warrior Gold” or the “Company”) is pleased to announce that further to its press releases of
December 1 and 18th, the Company has closed the previously announced private placement
financing with the issuance of 11,262,812 units raising an aggregate of $1,176,633 in gross
proceeds. The 11,262,812 units were issued as to 6,347,811 common share units (the “HD
Units”), 1,809,000 flow-through share units (the “FT Units”) and 3,106,001 charity flow-through
share units (the “Charity FT Units”) priced at $0.09 per HD Unit, $0.12 per FT Unit and $0.125
per Charity FT Unit (the “Private Placement”). Each Unit comprises one common share, and in
the case of the FT and Charity FT Units, one flow-through share, and one-half of one common
share purchase warrant (each whole common share purchase warrant, a “Warrant”) with each
Warrant entitling the holder to purchase one additional common share in the capital of the
Company for a period of 18 months from the date of closing of the Private Placement, at a
purchase price of $0.15 per common share, provided, however, that, if, at any time following the
statutory four-month hold period, the closing price of the common shares on the TSX Venture
Exchange is greater than $0.20 for 20 or more consecutive trading days, the Warrants will be
accelerated and will expire on the 30th business day following the date of such notice. All
securities issued under the Private Placement will be subject to a four-month and one day “hold
period” under applicable Canadian securities legislation.
Certain insiders of the Company subscribed for an aggregate of $48,000 in FT Units pursuant to
the Private Placement.
In accordance with the policies of the TSX Venture Exchange, the Company paid $41,679 in
cash and issued 458,228 compensation warrants exercisable into common shares of the Company
at $0.15 for a period of 18 months from the closing of the Private Placement.
The gross proceeds from the sale of the HD Units will be utilized by the Company for working
capital and general corporate purposes and the gross proceeds from the sale of the FT and
Charity Units will be used by the Company to incur eligible "Canadian exploration expenses"
that will qualify as "flow-through mining expenditures" as such terms are defined in the Income
Tax Act (Canada) (the "Qualifying Expenditures") related to the Company's Goodfish-Kirana
Property located in Kirkland Lake, Ontario.
The securities offered have not been registered under the U.S. Securities Act of 1933, as
amended, and may not be offered or sold in the United States absent registration or an applicable
exemption from the registration requirements. This press release shall not constitute an offer to
sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State
in which such offer, solicitation or sale would be unlawful.
About Warrior Gold Inc.
Warrior Gold is a TSX Venture Exchange listed company that owns the Goodfish-Kirana
Property located five km from the town of Kirkland Lake, Ontario. The Property is located in the
historic Kirkland Lake Gold Camp which is situated in the prolific Abitibi Greenstone Belt,
recognized as one of the world’s highest grade greenstone belts with over 200 million ounces of
gold produced to date.
The Goodfish-Kirana Property is 11.5 km long by roughly three km wide (34 km2) and contains
three major structural trends: the east-west trending Kirana Deformation Zone; the northeast-
trending Goodfish Deformation Zone; and the Victoria Creek Deformation Zone on the recently
acquired Sutton claims on the northeast side of the property. The Property contains numerous
historical gold showings, as well as 18 historical pits and shafts.
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.
Forward-Looking Statements: This press release contains forward-looking statements.
Forward-looking statements are frequently characterized by words such as "plan", "expect",
"project", "intend", "believe", “anticipate", "estimate", "may", "will", "would", "potential",
"proposed" and other similar words, or statements that certain events or conditions "may" or
"will" occur. The forward-looking statements are based on certain key expectations and
assumptions made by the Company. Although Warrior Gold 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 Warrior Gold can give no
assurance that they will prove to be correct. Since forward-looking statements address future
events and conditions, by their very nature they involve inherent risks and uncertainties. Actual
results could differ materially from those currently anticipated due to a number of factors and
risks. In addition to other risks that may affect the forward-looking statements in this press
release are those set out in the Company’s management discussion and analysis of the financial
condition and results of operations for the year ended March 31, 2020 and the second quarter
ended September 30, 2020, which are available on the Company’s profile at www.sedar.com.
The forward-looking statements contained in this press release are made as of the date hereof
and Warrior Gold undertakes no obligation to update publicly or revise any forward-looking
statements or information, whether as a result of new information, future events or otherwise,
unless so required by applicable securities laws.
Contacts
Danièle Spethmann, P.Geo.
President & CEO
+1 647 344-3433