Magumagold acquires 13.1 million units of Osprey Gold
2019-08-13 16:45 ET – News Release
Mr. Regan Isenor reports
MEGUMAGOLD AQUIRES 19.05% OF ISSUED AND OUTSTANDING SHARES OF OSPREY GOLD DEVELOPMENT LTD. THROUGH NON-BROKERED PRIVATE PLACEMENT
Megumagold Corp. has participated in a non-brokered private placement of Osprey Gold Development Ltd. The Company acquired 13,100,000 Units of Osprey at a price of $0.05 per Unit. Each Unit consists of one common share and one share purchase warrant (“Warrant”), each Warrant entitling the holder to purchase an additional common share at a price of $0.075 per share for a period of 24 months from date of issuance.
Osprey closed the Private Placement of 21,580,000 Units for aggregate proceeds of $1,079,000. The intended use of the proceeds will be used for exploration and advancement of Osprey’s exploration projects located in Nova Scotia, Canada, and general working capital. All securities issued under the Private Placement are subject to a hold period expiring four months and one day after date of issuance.
Osprey Gold Development Ltd. is a Canadian exploration company focused on exploring five gold properties in Nova Scotia, Canada. Osprey has the option to earn 100% (subject to certain royalties) in all five properties, including the Goldenville Gold Project.
Osprey’s exploration licenses all sit contiguous with MegumaGold claims in the heart of the Meguma gold district.
Theo van der Linde, the President of MegumaGold Corp., stated: “We are very excited to increase the Company’s exposure in the emerging gold camp in Nova Scotia through this Private Placement with Osprey. Osprey has a number of properties which are strategically positioned contiguously with MegumaGold licences.”
MegumaGold has been granted the right to participate in subsequent offerings of Osprey on a pro-rata basis in proportion to MegumaGold’s percentage interest (calculated on a non-diluted basis) immediately prior to the subsequent offerings for a term of 24 months (the “Participation Right”).
About MegumaGold Corp.
MegumaGold is a Canadian junior gold exploration company engaged in the business of acquiring, exploring and developing natural resource properties. During 2018 and 2019, the Company has centered its exploration focus on the developing Meguma formation of Nova Scotia. As a result, the Company has assembled a strategically-positioned tenure of 180,754 hectares within the Meguma gold district.
We seek Safe Harbor.