Magnum Goldcorp (MGI-V) June 12, '17 subject to regulatory approval, intends to proceed with a non-brokered private placement to raise up to $600,000 by the issuance of up to 12 million non-flow-through units at five cents per unit. Each unit will consist of one common share and one share purchase warrant, with each warrant entitling the holder to purchase an additional common share for a period of two years at an exercise price of 10 cents. With respect to this private placement, the company may pay finders' fees in the amount of 10 per cent (payable in cash or units), based on the sale of the units purchased by subscribers introduced to the company by such finders.
The company intends to use the proceeds from this private placement for general working capital purposes and to further exploration on its LH property. As announced on April 27, 2016, Magnum now owns 100 per cent of the LH property. The LH property is a gold exploration property consisting of 19 contiguous Crown-granted claims and seven mineral claims, located approximately seven kilometres south of Silverton, B.C., on the east side of Slocan Lake. Access to the LH property is via Highway 6 for eight kilometres south of Silverton and then via Red Mountain Road for two kilometres and a four-wheel drive road along Fingland Creek for five kilometres.
As detailed in Magnum's previous news releases, the company's 2015 and 2016 exploration programs have yielded what it believes are impressive analytical results. In particular, the company's 2015 drill program (which consisted of 11 drill holes and 693 metres of drilling) intersected anomalous high-grade gold mineralization, including 16.9 metres of 13.58 grams per tonne (g/t) gold, 10.9 metres of 20.61 g/t gold and 11 metres of 20.66 g/t gold. The planned 2017 exploration program is intended to include a geophysical survey, followed by a drill program.
This news release has been reviewed and approved by Rick Walker, PGeo, who is acting as the company's qualified person for the LH property, in accordance with regulations under National Instrument 43-101.
For further information,
contact Mr. Clive Shallow, Shareholder Communications, at 604-922 2030
or visit the company’s website at www.magnumgoldcorp.com
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Magnum Goldcorp Inc.“
Douglas L. Mason”
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Douglas L. Mason, CEO |
