BANYAN GOLD CORP. ("Banyan"), is pleased to announced it has closed the first tranche, subject to final TSX approval, of its previously announced non-brokered private placement (see press release dated February 17, 2015).
The first tranche consists of non-brokered private-placement financing for gross proceeds of $435,000 by the issuance of 8,700,000 units of the company at a price of 5 cents per unit. Each unit consists of one common share and one-half of a non-transferable common share purchase warrant, with each full warrant exercisable into one common share of the company at an exercise price of 7.5 cents, for a period of 24 months from the date of issuance.
The warrants, which form part of the units, may have their expiry time accelerated at any time prior to the expiry of the warrants if the volume-weighted average trading price of the corporation's shares on the TSX Venture Exchange is greater than 12 cents for 15 consecutive trading days, at which time the corporation may give notice in writing to the warrant holders within 10 days of such an occurrence that the warrants shall expire on the 30th day following the giving of such notice. No commission has been paid as part of this first tranche financing. Funds will be used for general working capital and advancement of Banyan’s Hyland Gold Project.
Directors and Officers of the Banyan have participated in the first tranche by acquiring 2,000,000 units or $100,000 and post close will hold approximately 34.6% of the shares outstanding.
Banyan is a gold exploration and development company whose flagship property, the Hyland Gold Project (“Hyland”), is approximately 70 km NE of Watson Lake, Yukon. The Main Zone gold inferred resource, at a 0.6 g/t gold equivalent ("AuEq") cutoff, hosts a NI 43-101 compliant resource of 12,503,994 tonnes containing 361,692 ounces gold at 0.9 g/t and 2,248,948 ounces silver at 5.59 g/t for a combined gold and silver 396,468 ounces gold equivalent. Based on the success of previous exploration and numerous untested drill ready targets Banyan management foresees potential for a significant regional exploration.
Paul D. Gray, P.Geo. is Banyan's Qualified Person with respect to Hyland and has reviewed and approved this press release.
ON BEHALF OF THE BOARD OF BANYAN
(signed) "Mark Ayranto"
For more information, please contact:
Tel: (604) 648-8450
Email: [email protected]
The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.
Neither the Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.
Disclaimer for Forward-Looking Information
Statements in this news release regarding Banyan which are not historical facts are “forward-looking statements” that involve risks and uncertainties. Such information can generally be identified by the use of forwarding-looking wording such as “may”, “will”, “expect”, “estimate”, “anticipate”, “intend”, “believe” and “continue” or the negative thereof or similar variations.