Opus One Gold Corporation Finalizes Successful Financing Round

Opus One Gold Corporation Completes Private Placement

Opus One Gold Corporation (OOR: TSXV), a dynamic player in the mining exploration sector, has recently completed a significant private placement that demonstrates its strong market position and commitment to growth. This financing round, raising $1,495,750, included the issuance of flow-through shares and units that are crucial for the company’s ongoing exploration initiatives.

Details of the Offering

The share issuance consisted of 25,104,545 flow-through shares (FT Shares) priced at $0.055 each, generating gross proceeds of $1,380,750. Additionally, the company offered 2,300,000 units at a price of $0.05 per unit, resulting in $115,000. Each unit contains one common share and a warrant, allowing holders to purchase an additional share at $0.10 within a three-year timeframe.

Use of Proceeds

Proceeds from this offering are earmarked for exploration activities on Opus One's promising mineral properties, specifically in the renowned Abitibi Greenstone Belt, known for yielding high-quality gold and base metals. The funds will also support general working capital and cover specific fees related to the placement.

Regulatory Compliance

The private placement was conducted in compliance with the “accredited investor” exemption under Canadian securities regulations. All shares issued are subject to a four-month hold period, ensuring adherence to market practices and investor protection guidelines.

Compensation for Finders

As part of the financing arrangement, Opus One Gold paid an 8% finder’s fee in cash and granted 363,636 compensation warrants to arm’s length finders, allowing them to purchase shares at $0.055 for 24 months after closing. These actions underscore Opus One’s strategy to collaborate with established market participants to enhance its funding capabilities.

Related Party Transaction

Patrick Fernet, a director of Opus One, contributed to the financing by purchasing 600,000 FT Shares for $33,000. This acquisition categorizes Fernet as an insider per securities laws. Notably, the transaction is exempt from certain oversight protocols, reflecting its minimal impact on the company’s overall market capitalization.

Previous Funding Initiatives

Opus One Gold has consistently pursued funding avenues, as demonstrated by their previous placements in the past months. A clarification regarding these earlier placements revealed that a total of $361,000 was raised, with proceeds allocated primarily to operational costs and management compensation.

Mission and Future Goals

Opus One Gold Corporation is dedicated to unlocking the potential of its mineral exploration properties, primarily located in Val-d'Or and Matagami regions. The company is strategically positioned in one of the world's most prolific gold mining areas, aiming for continued expansion and success. Its leadership team is empowered to navigate the complexities of the mining sector while ensuring sustainable practices and robust exploration efforts.

Contact Information

For inquiries, please reach out to:

Louis Morin
Chief Executive Officer & Director
Tel.: (514) 591-3988

Michael W. Kinley, CPA, CA
President, Chief Financial Officer & Director
Tel: (902) 402-0388

Frequently Asked Questions

What is the total amount raised in the recent financing?

The total amount raised in the private placement is $1,495,750.

How many flow-through shares did Opus One issue?

Opus One issued a total of 25,104,545 flow-through shares.

What will the proceeds be used for?

Proceeds will be utilized for exploration on mineral properties and for general working capital needs.

Who is Patrick Fernet?

Patrick Fernet is a director of Opus One and an insider who participated in the private placement.

Where is Opus One Gold Corporation focused in terms of exploration?

Opus One is focused on exploring the Abitibi Greenstone Belt, rich in gold and base metal deposits.

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