Error! Unknown document property name. WEST RED LAKE GOLD ANNOUNCES REVISED TERMS TO PREVIOUSLY ANNOUNCED BOUGHT DEAL PUBLIC OFFERING
Error! Unknown document property name.
WEST RED LAKE GOLD ANNOUNCES REVISED TERMS TO
PREVIOUSLY ANNOUNCED BOUGHT DEAL PUBLIC OFFERING
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES
TORONTO, May 8, 2024 -- West Red Lake Gold Mines Ltd. (“West Red Lake Gold” or “WRLG” or the
“Company”) (TSXV: WRLG) (OTCQB: WRLGF) is pleased to announce that it has amended its previous
agreement with Raymond James Ltd. as sole bookrunner, on behalf of a syndicate of underwriters
(collectively, the “Underwriters”), pursuant to which the Underwriters have agreed to purchase, on a “bought
deal” basis, 27,778,000 units (the “Units”) and 11,236,000 charity-flow through units (the “ Charity Flow-
Through Units”) of the Company at a price of C$0.72 per Unit (the “Unit Issue Price”) and C$0.89 per Charity
Flow-Through Unit (the “Charity Flow-Through Issue Price”), respectively, for aggregate gross proceeds to
the Company of approximately C$30 million (the “Offering”). The terms of the Offering have been amended
to provide for a full Warrant (as defined below) rather than a half Warrant as part of each of the Unit s and
Charity Flow-Through Units and to remove the acceleration feature of the Warrants.
Each Unit will now consist of one common share of the Company (“Common Shares”) and one common
share purchase warrant, (a “Warrant”). Each Warrant will entitle the holder to acquire one common share
of the Company for an exercise price of $1.00 per share for 24 months from the Closing Date.
Each Charity Flow-Through Unit will now consist of one common share of the Company issued as “flow-
through shares” within the meaning of the Income Tax Act (Canada (each, a “Flow-Through Unit Share”)
and one Warrant. Upon the exercise of the Warrants issued as part of the Flow -Through Units, the
underlying common share will not be issued as “flow-through shares” within the meaning of the Income Tax
Act (Canada).
The Company has agreed to grant the Underwriters an over-allotment option to purchase up to an additional
15% of the aggregate number of Units at the Unit Issue Price, exercisable in whole or in part at any time
for a period ending 30 days from the closing of the Offering.
The net proceeds pursuant to the issuance of the Units are expected to be used to continue to advance the
development of a restart plan for the Madsen Gold Mine as well as for working capital and general corporate
purposes. The gross proceeds pursuant to the issuance of the Charity Flow -Through Units will be used to
incur qualifying Canadian development expenses on the Company’s assets.
The Units and Charity Flow-Through Units will be offered under the short form base shelf prospectus (the
“Base Prospectus”) of the Company dated April 30, 2024, as supplement ed by a shelf prospectus
supplement (the “Supplement”) to be prepared and filed in each of the provinces of Canada, other than the
Province of Quebec (collectively, the “Jurisdictions”). The Units will also be offered by way of a private
placement in the United States, and in those jurisdictions outside of Canada and the United States which
are agreed to by the Company and the Underwriters, where the Units can be issued on a private placement
basis, exempt from any prospectus, registration or other similar requirements.
The Offering is expected to close on or about May 16, 2024 and is subject to certain conditions including,
but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture
Exchange.
Page 2 of 3
The securities have not been, and will not be, registered under the United States Securities Act of 1933, as
amended (the “U.S. Securities Act ”), or any U.S. state securities laws, and may not be offered or sold in
the United States without registration under the U.S. Securit ies Act and all applicable state securities laws
or compliance with the requirements of an applicable exemption therefrom. This press release shall not
constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there
be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
ABOUT WEST RED LAKE GOLD MINES
West Red Lake Gold Mines Ltd. is a mineral exploration company that is publicly traded and focused on
advancing and developing its flagship Madsen Gold Mine and the associated 47 km2 highly prospective
land package in the Red Lake district of Ontario. The highly productive Red Lake Gold District of Northwest
Ontario, Canada has yielded over 30 million ounces of gold from high- grade zones and hosts some of the
world’s richest gold deposits. WRLG also holds the wholly owned Rowan Property in Red Lake, with an
expansive property position covering 31 km2 including three past producing gold mines – Rowan, Mount
Jamie, and Red Summit.
ON BEHALF OF WEST RED LAKE GOLD MINES LTD.
Shane Williams
President & Chief Executive Officer
FOR FURTHER INFORMATION, PLEASE CONTACT:
Freddie Leigh
Tel: (604) 609-6132
Email: [email protected] or visit the Company’s website
at https://www.westredlakegold.com
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 information
Certain statements contained in this news release may constitute “ forward-looking information” within the
meaning of applicable securities laws. Forward- looking information generally can be identified by words
such as “anticipate”, “expect”, “estimate”, “forecast”, “planned”, and similar expressions suggesting future
outcomes or events. Forward- looking information is based on current expectations of management;
however, it is subject to known and unknown risks, uncertainties and other factors that may cause actual
results to differ materially from the forward- looking information in this news release and include without
limitation, statements relating to the closing of the Offering, the exercise of the over -allotment option and
the expected closing date of the Offering. Readers are cautioned not to place undue reliance on forward-
looking information.
Forward‐looking information involve numerous risks and uncertainties and actual results might differ
materially from results suggested in any forward-looking information. These risks and uncertainties include,
among other things, market volatility; the state of the financial markets for the Company ’s securities;
fluctuations in commodity prices and changes in the Company ’s business plans. Forward- looking
information is based on a number of key expectations and assumptions, including without limitation, that
the Company will continue with its stated business objectives and its ability to raise additional capital to
proceed. Although management of the Company has att empted to identify important factors that could
Page 3 of 3
cause actual results to differ materially from those contained in forward- looking information, there may be
other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance
that such forward- looking information will prove to be accurate, as actual results and future events could
differ materially from those anticipated in such forward-looking information. Accordingly, readers should not
place undue reliance on forward- looking information. Readers are cautioned that reliance on such
information may not be appropriate for other purposes. Additional information about risks and uncertainties
is contained in the Company ’s management’s discussion and analysis for the year ended November 30,
2023, and the Company’s annual information form for the year ended November 30, 2023, copies of which
are available on SEDAR+ at www.sedarplus.ca.
The forward- looking information contained herein is expressly qualified in its entirety by this cautionary
statement. Forward-looking information reflects management’s current beliefs and is based on information
currently available to the Company. The forward- looking information is made as of the date of this news
release and the Company assumes no obligation to update or revise such information to reflect new events
or circumstances, except as may be required by applicable law.
For more information on the Company, investors should review the Company’s continuous disclosure filings
that are available on SEDAR+ at www.sedarplus.ca.