|February 18, 2004|
Energold Announces $700,000 Private Placement
|Energold Mining Ltd. announces that it will complete, subject to regulatory approval, a non-brokered private placement of 1,000,000 units at $0.70 per unit for total gross proceeds of $700,000. Each unit will consist of one share and one-half of one non-transferable share purchase warrant. Each whole share purchase warrant will entitle the holder to purchase one additional share of Energold for a period of two years at $0.75 per share.|
Certain of Energold's directors will participate in the private placement. Due to that relationship, the private placement is considered to be a "related party transaction" as defined under Ontario Securities Commission Rule 61-501 (the "Rule"). However, the transaction is exempt from the application of the Rule on the basis that the common shares of Energold to be issued represent less than 25% of the current market capitalization of Energold. Subject to receipt of the approval of the TSX Venture Exchange to the transaction, the transaction may close before 21 days following the filing of the material change report respecting this announcement, if management determines it is necessary or desirable for sound business reasons.
The proceeds of the private placement will be applied to working capital.
On behalf of the Directors of Energold Mining Ltd.
"Frederick W. Davidson"
For further information, please contact:
Fred Davidson or
Darrell Rader -- Corporate Development
The TSX Venture Exchange has neither approved nor disapproved this news release.
You can view the Next News Releases item: Fri Feb 20, 2004, Arrangement for Sale of Shares
You can view the Previous News Releases item: Mon Jan 19, 2004, Energold Announces Joint Venture On El Higo Project
You can return to the main News Releases page, or press the Back button on your browser.