(TheNewswire)
February 21, 2023 – TheNewswire - Baru Gold Corp. ( TSXV:BARU ) | ( OTC:BARUF ) is conducting a$2.25-million non-brokered private placement consisting of up to75,000,000 priced at $0.03 per unit. Each unit will comprise onecommon share in the capital of the company and one transferable commonshare purchase warrant. Each warrant will entitle the holder topurchase one additional share at an exercise price of $0.05 for thefirst year and $0.10 cents for the second year during a two year term.The financing is expected to close on or before April 7, 2023.
The use of proceeds percentage of the financing will be13 per cent for land acquisition, 22 per cent for drilling, 7 per centfor security, 4 per cent for investor relations, 18 per cent forpayments to non-arm's-length parties and 36 per cent for workingcapital.
Note: The company cautions readers that the anyproduction decision made by the company will not be based on aNational Instrument 43-101 feasibility study of mineral reserves thatdemonstrates economic and technical viability, and, as such, there maybe involved increased uncertainty and various technological andeconomic risks such as the interpretation of drill results; thegeology, grade and continuity of mineral deposits; the possibilitythat future exploration, development or mining results will not beconsistent with the Company's expectations; commodity and currencyprice fluctuation; failure to obtain adequate financing; regulatory,recovery rates, refinery costs, and other relevant conversion factors,permitting and licensing risks; general market and mining explorationrisks, and production and economic risks related to design andengineering, manufacturing, technological processes and testprocedures, and the risk that the project's output will not besaleable at a price that will cover the project's operating andmaintenance costs.
The private placement is subject to regulatoryapproval, and all securities to be issued pursuant to the financingare subject to a four-month hold period under applicable Canadiansecurities laws. All funds are denominated in Canadian dollars. Inconnection with the private placement, the company may pay finders'fees in cash or securities, or a combination of both, as permitted bythe policies of the exchange.
The securities being offered have not been, nor willthey be, registered under the United States Securities Act of 1933, asamended, or state securities laws, and may not be offered or soldwithin the United States or to, or for the account or benefit of, U.S.persons absent U.S. federal and state registration or an applicableexemption from the U.S. registration requirements.
ABOUT SANGIHE GOLD PROJECT
The Sangihe gold project is located on the Indonesianisland of Sangihe, off the northern coast of Sulawesi. Sangihe has anexisting National Instrument 43-101 inferred mineral resource of114,700 indicated and105,000 inferred ounces of gold, as reported inthe company's "Independent Technical Report on the MineralResource Estimates of the Binebase and Bawone Deposits, SangiheProject, North Sulawesi, Indonesia," dated May 30, 2017. Readers are cautioned that mineral resources thatare not mineral reserves do not have demonstrated economic viability.The company intends to proceed to production without the benefit offirst establishing mineral reserves supported by a feasibilitystudy.
The Company's 70-per-cent interest in the Sangihemineral tenement contract of work (CoW) is held through PT. TambangMas Sangihe (TMS). The remaining 30-per-cent interest in TMS is heldby three Indonesian corporations. The term of the Sangihe CoWagreement is 30 years upon commencement of the production phase of theproject.’
Baru has met all the requirements of the Indonesiangovernment and has been granted its environmental permit. The companyhas received approval for the upgrade of its licence to advance theSangihe project to construction and production.
ABOUT BARU GOLD
Baru Gold is a dynamic junior gold developer withNational Instrument 43-101 gold resources in Indonesia, one of the top10 gold-producing countries in the world. Based in Indonesia and NorthAmerica, Baru's team boasts extensive experience in starting andoperating small-scale gold assets.
Frank Rocca, BAppSc (geology), MAusIMM, MAIG, CPI-KCMI,chief geologist of Baru Gold, is the qualified person as defined underNI 43-101 who has reviewed and approves the content of thisrelease.
BARU GOLD CORP
Per: “Terry Filbert”
Terry Filbert, Director
President & CEO
info@barugold.com
+1- 206-890-8285
For investor contacts more information, please contact:
Kevin Shum
Investor Relations
kevin@jeminicapital.com
647-725-3888 ext 702
Neither TSXVenture Exchange nor its Regulation Services Provider (as that term isdefined in the policies of the TSX Venture Exchange) acceptsresponsibility for the adequacy or accuracy of this release.
Certain statements in this NewsRelease, which are not historical in nature, constitute “forwardlooking statements” within the meaning of that phrase underapplicable Canadian securities law. These statements include, but arenot limited to, statements or information concerning future work programs, results andtiming of any work programs, the Company’s performance or events asof the date hereof. These statements reflect management’s currentassumptions and expectations and by their nature are subject tocertain underlying assumptions, known and unknown risks anduncertainties and other factors which may cause actual results,performance or events to be materially different from those expressedor implied by such forward looking statements. Those risks include theinterpretation of drill results; the geology, grade and continuity ofmineral deposits; the possibility that future exploration, developmentor mining results will not be consistent with our expectations;commodity and currency price fluctuation; failure to obtain adequatefinancing; regulatory, recovery rates, refinery costs, and otherrelevant conversion factors, permitting and licensing risks; generalmarket and mining exploration risks and production and economic risksrelated to design and engineering, manufacturing, technologicalprocesses and test procedures and the risk that the project’s outputwill not be salable at a price that will cover the project’soperating and maintenance costs. Forward-looking statements should notbe construed as investment advice. Readers should perform a detailed,independent investigation and analysis of the Company and areencouraged to seek independent professional advice before making anyinvestment decision. Accordingly, readers should not place unduereliance on any forward-looking statement. Except as required byapplicable securities laws, the Company disclaims any obligation toupdate or revise any forward looking statements to reflect events orchanges in circumstances that occur after the date hereof.
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