Canadian Gold Resources Initiates Strategic Non-Brokered Placement

Private Placement Opportunity by Canadian Gold Resources Ltd.

DIEPPE, New Brunswick — Canadian Gold Resources Ltd. (TSXV: CAN), a prominent explorer in Canada, has announced an exciting opportunity with a non-brokered private placement, designed to advance its exploration initiatives. This strategic Offering includes:

Flow-Through and Non Flow-Through Units

The Offering encompasses:

1. Up to 7,500,000 flow-through units (referred to as “FT Units”), priced at $0.30 each, potentially generating up to $2,250,000 in gross proceeds.
2. Up to 1,000,000 non flow-through units (designated as “NFT Units”), offered at $0.25 each, which could yield an additional $250,000.

Each FT Unit consists of one flow-through share and half a common share purchase warrant (termed “FT Warrant”). Holders of each whole FT Warrant can purchase one common share in the Company at a price of $0.40 per share for a duration of 24 months from issuance date. Conversely, the NFT Units are made up of one common share and one common share purchase warrant (the “NFT Warrant”), allowing purchase of one common share at $0.35 for the same 24 months period.

Utilizing Proceeds for Development

The proceeds from this private placement will be instrumental in advancing the Company's operations, particularly for bulk sampling and further exploration efforts at their Lac Arsenault property alongside other promising gold projects in the Gaspé Gold Belt region of Quebec. Importantly, the revenues generated from FT Units will be allocated exclusively to eligible exploration expenditures.

Incentives for Participation

Canadian Gold Resources Ltd. may offer cash finder’s fees and finder’s options to qualified arm’s length parties connected with the Offering, as a strategic incentive to facilitate successful funding.

Regulatory Conditions and Securities Advisory

It is crucial to note that all securities issued under this Offering will be subject to a hold period of four months plus one day from issuance date. The Offering's closing is contingent upon various regulatory approvals, including validations from the TSX Venture Exchange.

Additional Background on Canadian Gold Resources Ltd.

Canadian Gold Resources Ltd. aims to become a leading player in gold exploration, especially within the historic and resource-rich Gaspé Gold Belt in Quebec. The Company focuses on mining projects that have previously shown promising results but are under-explored. By applying innovative exploration techniques and establishing solid community relations, Canadian Gold is set to unlock significant value from these gold-rich sites.

Company Contact Information

For further inquiries, please contact:

Ronald Goguen
Chairman, President & CEO
Canadian Gold Resources Ltd.
Email: rongoguen@cdngold.com
Phone: 506-383-4274

Investor Relations
Caroline Sawamoto
Email: investors@cdngold.com

Frequently Asked Questions

What is the purpose of the private placement?

The private placement aims to raise funds primarily for exploration initiatives and operational enhancements in the Gaspé Gold Belt.

What are flow-through units?

Flow-through units provide a tax advantage for investors, allowing them to claim certain deductions related to exploration expenditures.

How long will the warrants be valid?

Warrants for both FT and NFT Units will be valid for 24 months from the issuance date.

What are the minimum investment requirements?

Details regarding minimum investment requirements can be obtained directly from the Company or its representatives.

Who should I contact for more information?

Interested parties can reach out to Ronald Goguen, CEO, or Caroline Sawamoto in Investor Relations for comprehensive insights.

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