20 August 2020
Nighthawk Gold Corp. is pleased to announce that it has closed the non-brokered private placement (the “Offering”) announced on July 29, 2020, which was subsequently upsized to $12 million on July 31, 2020.
Dr. Michael Byron, President and CEO commented, “We were oversubscribed on the Offering, and are very pleased with the ongoing support and interest we have seen. These funds allow us to complete our 2020 exploration program and set ourselves up for an expanded program next year. We are excited to continue advancing our work at Colomac and to have to ability to further explore some of our high-priority targets that exist within our Indin Lake Gold Property. We expect to receive drill results on some of these targets in the near term.”
Pursuant to the Offering, the Company issued: (i) 676,542 units (“Units”) comprised of one non flow-through common share and one-half of one non flow-through common share purchase warrant (each whole warrant, a “Warrant”); (ii) 1,995,050 flow-through units (“Premium FT Units”) comprised of one “flow-through” common share and one-half of one “flow-through” Warrant; and (iii) 3,211,716 “flow-through” common shares (“FT Shares”), for aggregate gross proceeds of $12,000,600.80.
The gross proceeds from the sale of the FT Shares and Premium FT Units will be used for exploration expenditures on Nighthawk’s Indin Lake Gold Property located in Canada’s Northwest Territories and the net proceeds from the sale of the Units will be used for general corporate purposes.
Each of the securities issued under the Offering are subject to a hold period under Canadian law which will expire four months and one day from the closing date of the Offering being December 21, 2020. Certain directors and officers of the Company participated in the Offering, purchasing in the aggregate 52,000 Units and 52,200 FT Shares for aggregate proceeds of $188,150.
The Offering remains subject to final approval of the Toronto Securities Exchange. After giving effect to this Offering, Nighthawk is well financed with approximately $17 million in working capital.