LGO - Leocor Gold Announces Closing of Non-Brokered Private Placement
(TheNewswire)
Vancouver, BritishColumbia – TheNewswire - April 19, 2024 - Leocor Gold Inc. (the “ Company ” or “ Leocor ”) (CSE:LECR ) , ( OTC:LECRF) is pleasedto announce that it has closed its non-brokered private placement andhas issued 38,300,000 units (each, a “ Unit ”) at a priceof $0.05 per Unit for gross proceeds of $1,915,000. Each Unit consistsof one common share of the company and one-half of one common sharepurchase warrant (each whole warrant, a “ Warrant ”),entitling the holder thereof to purchase one additional share at aprice of $0.10 until April 19, 2027.
The Company intends to use the gross proceeds toadvance the exploration and development of its gold and copperprojects in Newfoundland, and for general working capitalpurposes.
In connection with closing of the offering, the Companypaid finders' fees totalling $25,200 and issued 504,000 Warrants tocertain arm's-length brokerage firms. All securities issued inconnection with the private placement are subject to a statutory holdperiod until August 20, 2024, under applicable Canadian securitieslaws, in addition to such other restrictions as may apply underapplicable securities laws of jurisdictions outside of Canada.
Brian Shin, the Chief Financial Officer of the Company,subscribed for 200,000 Units in the offering. Participation in theoffering by an insider of the Company constitutes a related-partytransaction within the meaning of Multilateral Instrument 61-101(Protection of Minority Security Holders in Special Transactions)(“ MI 61-101 ”). The issuance of securities to Mr. Shin is exempt fromthe valuation requirement of MI 61-101 by virtue of the exemptioncontained in Section 5.5(b) as the shares are not listed on aspecified market and from the minority shareholder approvalrequirements of MI 61-101 by virtue of the exemption contained inSection 5.7(a) of MI 61-101, in that the fair market value of theconsideration paid for the securities issued to Mr. Shin does notexceed twenty-five percent of the Company’s marketcapitalization.
“We’re pleased with support of existing and newshareholders who participated in this raise,” said Alex Klenman,CEO. “The additional funds realized in this placement will assistgreatly in moving our Baie Verte project forward. With demonstratedrobust gold and copper mineralization, the projects that make up thisexploration package provide exceptional opportunities. Now is theperfect time to complete the next stage of development of theseassets,” continued Mr. Klenman.
About Leocor Gold Inc.
Leocor Gold Inc. is a British Columbia-based resourcecompany involved in the acquisition and exploration of precious metalprojects, with a current focus in Atlantic Canada. Leocor, through outright ownership and earn-in agreements,currently controls several gold-copper projects in prime explorationground located within the prolific Baie Verte Mining District. Leocor’s Bae Verte portfolio includes the Dorset, Dorset Extension,Copper Creek and Five Mile Brook projects, creating a contiguousnearly 2,000-hectare exploration corridor. The Company also controlsdistrict scale land packages in North Central Newfoundland, known asRobert’s Arm, Hodge’s Hill, and Leamington, (collectively“Western Exploits”) representing over 144,000 hectares (1,440square kilometers) of prospective exploration ground.
Contact Information
Leocor Gold Inc.
Alex Klenman, Chief Executive Officer
Email : aklenman@leocorgold.com
Telephone : (604) 970-4330
Neither the CanadianSecurities Exchange nor its Regulation Services Provider (as that termis defined in the policies of the Canadian Securities Exchange)accepts responsibility for the adequacy or accuracy of thisrelease .
Cautionary Statements RegardingForward-Looking Information
This press release containsforward-looking information within the meaning of Canadian securitieslaws. Such information includes, without limitation, informationregarding the intended use of proceeds from the offering. AlthoughLeocor believes that such information is reasonable, it can give noassurance that such expectations will prove to be correct.
Forward looking information istypically identified by words such as: “believe”, “expect”,“anticipate”, “intend”, “estimate”, “postulate” andsimilar expressions, or are those, which, by their nature, refer tofuture events. Leocor cautions investors that any forward-lookinginformation provided by Leocor is not a guarantee of future results orperformance, and that actual results may differ materially from thosein forward looking information as a result of various factors,including, but not limited to: the state of the financial markets forLeocor's securities; the state of the natural resources sector in theevent the Option, or any of them, are completed; recent marketvolatility; Leocor's ability to raise the necessary capital or to befully able to implement its business strategies; and other risks andfactors that Leocor is unaware of at this time. The reader is referredto Leocor's initial public offering prospectus for a more completediscussion of applicable risk factors and their potential effects,copies of which may be accessed through Leocor’s issuer page onSEDAR+ at www.sedarplus.ca.
The forward-looking statementscontained in this press release are made as of the date of this pressrelease. Leocor disclaims any intention or obligation to update orrevise any forward-lookingstatements, whether as a result of new information, future events orotherwise, except as required by law.
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