Q-Gold Secures Full Allocation in Recent Financing Round
Q-Gold Announces Successful Financing Allocation
In a significant development, Q-Gold Resources Ltd. (TSXV: QGR) has shared exciting news that its recent offering of up to 66,666,667 units has been fully allocated. This milestone is facilitated by BMO Nesbitt Burns Inc., the agent assisting with the financing, reflecting strong investor interest. The company expressed enthusiasm regarding this outcome, as it indicates robust confidence in their ongoing projects and strategic direction.
Optimism Around Future Growth
Peter Tagliamonte, the chief executive officer of Q-Gold, articulated his satisfaction with the overwhelming response to the financing initiative. He remarked, "We are very pleased with the strong response to our financing, which has been fully allocated. The support from potential new investors serves as a strong endorsement of our projects and strategy." Q-Gold is anticipating the timely closing of this financing, which will empower them to further their exploration and development plans.
Details of the Financing Offering
The completion of the financing remains subject to standard closing conditions, such as approval from the TSX Venture Exchange, execution of necessary agreements, and receipt of title opinions. Such due diligence ensures that Q-Gold adheres to regulatory requirements and safeguards investor interests.
Amendments to the Quartz Mountain Acquisition
In a strategic update regarding its growth strategies, Q-Gold revealed that it has reached an amendment concerning the share exchange agreement with 0975828 B.C. Ltd. and Alamos Gold Inc., effective from a previous date. This agreement pertains to the acquisition of a promising mineral exploration project located in Oregon. The amendment showcases a decrease in the threshold for issuing a re-purchasable net smelter return royalty from 50% to 19.9% if certain conditions are met regarding share issuance.
Share Issuance Terms Clarified
As per the new amendments, should milestone payments result in Alamos Gold holding more than 19.9% of Q-Gold’s outstanding shares, Q-Gold will instead arrange for Quartz Mountain Gold Ltd. to grant an NSR Royalty. This structure is aimed at ensuring that both parties benefit under defined terms while maintaining a controlled share issuance.
Milestone Payment Framework
Moreover, the updated agreement specifies that Q-Gold will not issue common shares in excess of a pre-determined aggregate limit. In scenarios where such limits are approached, Q-Gold commits to employing commercially reasonable efforts to seek necessary approvals from the TSX Venture Exchange to exceed these limits if requested by Alamos.
About Q-Gold Resources Ltd.
Q-Gold, actively traded on the TSXV under the ticker QGR and also available on the OTC Markets with the code QGLDF, is a Canadian mineral exploration company dedicated to discovering high-grade gold and silver across various regions. Currently, the Company is focusing its exploration efforts on the historical Foley Gold Mine, known for its past production, located in Ontario.
Contact for More Information
For additional details, stakeholders can reach out to Peter Tagliamonte, Chief Executive Officer, through the following contact details:
Email: pwt@qgoldresources.com
Cell: +1 (416) 564-2880
Frequently Asked Questions
What was the outcome of Q-Gold's recent financing offering?
Q-Gold's recent financing offering of 66,666,667 units has been fully allocated, demonstrating significant investor interest.
What does the amendment to the share exchange agreement entail?
The amendment reduced the threshold at which a net smelter return royalty must be granted, adjusting it from 50% to 19.9%.
How is Q-Gold planning to utilize the funds from this financing?
The funds raised will be utilized to advance Q-Gold's exploration and development projects, particularly in mineral-rich areas.
Can you describe Q-Gold's primary exploration site?
Q-Gold is actively exploring the Foley Gold Mine in Ontario, which has a history of past production and potential for future discoveries.
Who should I contact for more information regarding Q-Gold?
For inquiries, you can contact Peter Tagliamonte, CEO, via email at pwt@qgoldresources.com or via cellphone at +1 (416) 564-2880.
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