Ascot Resources Ltd. (TSX: AOT | OTCQX: AOTVF) has announced a C$4.0M non-brokered flow through private placement, the proceeds of which will be used to fund the company’s 2023 exploration programme at its Premier Gold Project, located on Nisga’a Nation Treaty Lands in the prolific Golden Triangle of northwestern British Columbia.
Derek White president and CEO, commented, “We are pleased to announce this flow through private placement with a single investor. The proceeds will be used to advance our 2023 exploration programme at PGP, both for surface drilling on high-priority targets such as the Day Zone and Sebakwe Zone, and various IP geophysics activities for further target generation.”
The non-brokered private placement is being done to raise total gross proceeds of C$4,050,000. The offering will consist of 5,000,000 common shares of the company, which qualify as “flow-through shares” within the meaning of the Income Tax Act (Canada), at a price of C$0.81 per FT share.
The gross proceeds will be used for Canadian exploration expenses, and will qualify as flow-through mining expenditures, as those terms are defined in the Income Tax Act (Canada), which will be renounced to the purchaser of the FT shares with an effective date no later than 31 December 2023, in an aggregate amount not less than the gross proceeds raised from the issue of the FT Shares.
The FT shares issued in the offering will be subject to a hold period expiring four months and one day from the closing date of the offering.
The closing of the offering is expected to occur on or around 20 April 2023 and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory approvals, including the acceptance of the Toronto Stock Exchange.
Pursuant to the investor rights agreement between the company and Ccori Apu S.A.C. dated 19 January 2023, Ccori Apu has the right to elect to participate in the offering to maintain its pro rata interest in the company.
To find out more, please visit www.ascotgold.com
