Q-Gold Secures Initial Funding for New Exploration Ventures
Q-Gold Resources Ltd Announces Completion of Initial Financing
Q-Gold Resources Ltd (TSXV: QGR, OTC: QGLDF, FRA: QX9G) is excited to share that it has successfully completed an initial tranche of its non-brokered financing initiative, securing C$503,406.28 in gross proceeds. This offering will significantly enhance the Company’s ability to advance its exploratory operations.
Details of the Financing
During this initial tranche, Q-Gold issued 2,200,000 flow-through units priced at $0.16 per unit and an additional 1,078,902 non-flow-through units at $0.14 per unit. Each flow-through unit includes one common share, termed as the flow-through shares, alongside a warrant for future purchase at $0.20 per share valid for up to two years. Likewise, non-flow-through units comprise a common share and a similar warrant structure.
Use of Proceeds
The funds raised from the flow-through units, amounting to $352,000, are designated for the exploration and development of mineral properties specifically in the Mine Centre sector. The remaining proceeds from the non-flow-through units, totaling $151,046.28, are intended for general working capital, ensuring operational sustainability and growth.
Tax Implications
It is important to mention that the gross proceeds from the flow-through units qualify for Canadian Exploration Expenses (CEE) under the Income Tax Act. This designation will provide an additional financial benefit to the investors when the proceeds are renounced shortly, certainly no later than the end of the year.
Finder’s Fees and Warrants
As part of the financing arrangements, Q-Gold allocated finder’s fees totaling $35,200. Additionally, the Company issued 220,000 finder's warrants, allowing their holders to purchase non-flow-through shares at a price of $0.16 until mid-2026, thus enhancing investor returns.
About Q-Gold
Q-Gold Resources Ltd is a rising player in the mineral exploration domain, focusing on high-grade gold and silver resources across various locations. The Company is currently directing its efforts toward uncovering gold at the historical Foley Gold Mine located in Mine Centre, Ontario. Their commitment to discovering valuable mineral deposits positions them as a compelling investment opportunity within the mining sector.
Company Contact Information
For inquiries or further information, please contact:
Dr. Andreas Rompel
Chief Executive Officer
Email: andy.rompel@qgoldresources.com
Frequently Asked Questions
What is the purpose of the recent financing completed by Q-Gold?
The financing is aimed at enhancing Q-Gold’s exploration activities and supporting the development of its mineral properties.
How much money did Q-Gold raise in the first tranche?
In the first tranche, Q-Gold raised a total of C$503,406.28.
What types of units were issued in the financing?
Q-Gold issued flow-through units and non-flow-through units under the financing arrangement.
How will the proceeds from the raised funds be utilized?
The proceeds will primarily fund exploration activities and general working capital for the Company.
What are the future implications of the findings at the Foley Gold Mine?
Discoveries at the Foley Gold Mine may significantly enhance Q-Gold’s mineral portfolio and its attractiveness to investors.
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