(TheNewswire)
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October 11, 2023 – TheNewswire - Vancouver, BC - Baru Gold Corp (TSXV:BARU) (OTC:BARUF) (“Baru” orthe “Company”) announces to shareholders anincrease to the non-brokered private placement offering announced onOctober 3, 2023, consisting of up to 3,875,000 units priced at $0.04per unit for total proceeds of $155,000.
As the demand for the offering was higher thananticipated, we are announcing an increase to the non-brokered privateplacement offering announced on October 3, 2023. Each unit willcomprise one common share in the capital of the Company and onenon-transferable common share purchase warrant. Each warrant willentitle the holder to purchase over two years one additional share atan exercise price of $0.07 for the first year and $0.10 cents for thesecond year. The financing is expected to close on or before October12, 2023.
The use of proceeds of the financing will be forworking capital and pre-production expenses while the Company awaitsthe issuance of the State of Activity upgrade to Production Operationstatus.
Insiders of the Company participation in the foregoingoffering constitutes a "related party transaction" asdefined under Multilateral Instrument 61-101 Protection of MinoritySecurity Holders in Special Transactions (“MI 61-101”). Such participation is exempt from theformal valuation and minority shareholder approval requirements of MI61-101 as neither the fair market value of the securities acquired bythe insiders, nor the consideration for the securities paid by suchinsiders, exceed 25% of the Company's market capitalization.
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 may bepermitted by the 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 requirement.
ABOUT SANGIHE GOLD PROJECT
The Sangihe Gold Project (“Sangihe”) is located onthe Indonesian island of Sangihe, off the northern coast of Sulawesi.Sangihe has an existing National Instrument 43-101 inferred mineralresource of 114,700 indicated and 105,000 inferred ounces of gold, asreported in the Company's “Independent Technical Report on theMineral Resource Estimates of the Binebase and Bawone Deposits,Sangihe Project, North Sulawesi, Indonesia” (May 30, 2017). Readersare cautioned that mineral resources that are not mineral reserves donot have demonstrated economic viability.
The Company intends to proceed to production withoutthe benefit of first establishing mineral reserves supported by afeasibility study. The Company cautions readers that the anyproduction decision made by the Company will not be based on a NI43-101 feasibility study of mineral reserves that demonstrateseconomic and technical viability and as such, there may be involvedincreased uncertainty and various technological and economicrisks
The Company's 70-percent interest in theSangihe-mineral-tenement Contract of Work (“CoW”) is held throughPT. Tambang Mas Sangihe (“TMS”). The remaining 30-percent interestin TMS is held by three Indonesian corporations. The term of theSangihe CoW agreement is 30 years upon commencement of the productionphase of the project.
Baru has met all the requirements of the Indonesiangovernment and has been granted its environmental permit.
ABOUT BARU GOLD CORP.
Baru Gold Corporation is a dynamic junior gold developer with NI43-101 gold resources in Indonesia, one of the top ten gold producingcountries in the world. Based in Indonesia and North America, Baru’steam boasts extensive experience in starting and operating small-scalegold assets.
BARU GOLD CORP
Per: “Terry Filbert”
Terry Filbert, Director
President & CEO
info@barugold.com
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 workprograms, results and timing of any work programs, the Company’sperformance or events as of the date hereof. These statements reflectmanagement’s current assumptions and expectations and by theirnature are subject to certain underlying assumptions, known andunknown risks and uncertainties and other factors which may causeactual results, performance or events to be materially different fromthose expressed or implied by such forward looking statements. Thoserisks include the interpretation of drill results; the geology, gradeand continuity of mineral deposits; the possibility that futureexploration, development or mining results will not be consistent withour expectations; commodity and currency price fluctuation; failure toobtain adequate financing; regulatory, recovery rates, refinery costs,and other relevant conversion factors, permitting and licensing risks;general market and mining exploration risks and production andeconomic risks related to design and engineering, manufacturing,technological processes and test procedures and the risk that theproject’s output will not be salable at a price that will cover theproject’s operating and maintenance costs. Forward-lookingstatements should not be construed as investment advice. Readersshould perform a detailed, independent investigation and analysis ofthe Company and are encouraged to seek independent professional advicebefore making any investment decision. Accordingly, readers should notplace undue reliance on any forward-looking statement. Except asrequired by applicable securities laws, the Company disclaims anyobligation to update or revise any forward looking statements toreflect events or changes in circumstances that occur after the datehereof.
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