JZR Gold extends placement deadline to Sept. 5

Aug 19, 2024

2024-08-16 16:24 ET – News Release

Mr. Robert Klenk reports

JZR GOLD EXTENDS DEADLINE TO CLOSE NON-BROKERED PRIVATE PLACEMENT OFFERING OF CONVERTIBLE DEBENTURES

JZR Gold Inc. has requested and has received acceptance from the TSX Venture Exchange to extend the deadline to complete its previously announced non-brokered private placement offering of unsecured convertible debentures to raise gross proceeds of up to $1.5-million, which was subsequently increased to $1.7-million. On July 22, 2024, the company announced that it had closed a first tranche of the offering and issued debentures in the aggregate principal amount of $1.5-million. The offering was announced on June 21, 2024, and the initial deadline to complete the offering was Aug. 5, 2024. Pursuant to the extension granted by the exchange, the deadline to close the offering is Sept. 5, 2024.

The debentures will mature on the date that is one year from the date of issuance and shall bear simple interest at a rate of 10 per cent per annum, payable on the maturity date. The principal sum of the debentures, or any portion thereof, and any interest may be converted into units of the company at a conversion price of 20 cents per unit. Each unit shall comprise one common share and one share purchase warrant. Each warrant shall entitle the holder to acquire one additional common share in the capital of the company at a price of 25 cents per share for a period of 24 months from the date that the warrants are issued.

The debentures, units, conversion shares, warrants and warrant shares are collectively referred to herein as the securities. No finders’ fees were paid in connection with the closing of the first tranche of the offering.

All debentures issued pursuant to the offering, including any securities into which they may be exercised or converted, are subject to a statutory hold period of four months and one day from the date of issuance thereof. The offering is subject to final acceptance by the exchange.

The company intends to use the net proceeds of the offering to: (i) finance operations of the fully constructed 800-tonne-per-day gravimetric mill, as well as future exploration work on the Vila Nova gold project located in Amapa state, Brazil; (ii) to pay certain liabilities owed to arm’s-length parties; and (iii) for general working capital purposes. The company may fund operations on the Vila Nova gold project by advancing funds, by way of one or more loans, to ECO Mining Oil & Gaz Drilling and Exploration (EIRELI), as operator of the Vila Nova project. Net proceeds will also be used for general working capital purposes. The company possesses a 50-per-cent net profit interest from all net profit generated from the Vila Nova project.

We seek Safe Harbor.

https://jzrgold.com/