EnGold Closes $400,000 Final Tranche of $690,000 Private Placement
Vancouver, British Columbia--(Newsfile Corp. - October 13, 2016) - David H. Brett, President & CEO, Engold Mines Ltd., (TSXV: EGM) (the "Company," www.engold.ca) reports that EnGold has closed a second and final tranche of a non-brokered private placement previously announced on July 29, 2016, originally for $640,000 but subsequently increased to $690,000 (the "Offering"). The 2nd tranche closing consisted of the issuance of a total of 4,140,000 Flow Through units (the "FT Units") at a price of $0.07 per FT Unit for gross proceeds of $289,800 and 2,204,000 non Flow Through units (the "NFT Units") at a price of $0.05 per NFT Unit for gross proceeds of $110,200. Each FT Unit consists of one flow-through common share and one warrant ("Warrant") with each Warrant entitling the holder to acquire one non-flow through common share at a price of $0.10 per share until October 12, 2018. Each NFT Unit consists of one common share and one warrant ("Unit Warrant") with each Unit Warrant entitling the holder to acquire one non-flow through common share at a price of $0.08 per share until October 12, 2018. The first tranche closing of $290,000 ($200,200 FT & $80,800 NFT) was announced September 1, 2016, consisting of 2,860,000 FT Units and 1,796,000 NFT units, for a total of 7,000,000 FT units and 2,000,000 NFT units issued in both tranches of the Offering.
Proceeds of the $490,000 FT units are being used for exploration of the Company's 100% owned Lac La Hache Property in central British Columbia and the $200,000 proceeds of the NFT units are being used for general working capital purposes.
In connection with the final tranche of the Offering, the Company paid cash finder's fees of $27,510 and issued 437,080 finder's warrants entitling the holder to purchase one common share at $0.08 per share for two years ending October 12, 2018.
All shares and warrants issued in connection with the final tranche of the Offering are subject to a 4-month hold period ending February 12, 2017.
Engold Mines Ltd.,
Per/
David Brett, MBA
President & CEO
For further info contact David Brett, 604-682-2421 or david@engold.ca
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