NioGold Mining Corporation (TSX-V:NOX - News) is pleased to announce
that it has arranged a private placement with Northern Securities Inc. for
gross proceeds of $6.0 million with a bought deal commitment from Northern
Financial Corporation. The private placement is subject to Northern
Securities completing due diligence and other customary closing conditions.
The offering will consist of $4,000,000
in Units and $2,000,000 in Flow-Through shares, at a price of $0.32 per Unit
and $0.38 per Flow-Through Share. Each Unit will consist of one Common Share
and one-half of a Warrant, with each whole Warrant entitling the holder to
acquire one Common Share at an exercise price of $0.48 for a period of two
years. The Company may also raise up to an
additional $500,000 through the issuance of Units and Flow-Through Shares on
a non-brokered basis.
The offering remains subject to the
approval of the TSX Venture Exchange. All securities issued pursuant to the
private placement will be subject to a four-month hold period. The funds
raised from the offering will be used to finance exploration and for general
working capital purposes.
NioGold Mining Corporation - « On Canada's
Golden Highway »
NioGold Mining Corporation is a mineral
exploration company focused on GOLD. The Company's flagship projects are
located in the Cadillac - Malartic - Val-d'Or
stretch of the prolific Abitibi gold mining district, Quebec. The Cadillac - Malartic - Val-d'Or area has produced over 45M ounces of
gold since the 1930's and presently encompasses eight producing gold mines
and a major mine development project (Canadian Malartic,
Osisko Mining). NioGold's
land holdings within the Abitibi presently cover 115 km(2)
and encompass three former gold producers, namely the Norlartic,
Kierens (First Canadian), and Marban
mines that collectively produced 600,000 ounces of gold. NioGold
has outlined Indicated resources of 598,000 ounces gold and Inferred
resources of 361,000 ounces gold in and around these deposits.
NioGold's experienced and qualified technical
team will ensure the successful advancement of the Company's projects towards
the highest quality mineral resources. NioGold
invites you to visit the company website at www.niogold.com.
This news release was prepared by Rock Lefrançois, P.Geo.
(OGQ), the Company's President & COO and Qualified Person as defined by
National Instrument 43-101. For information on NioGold
Mining Corporation contact:
This news release includes
forward-looking statements that are subject to risks and uncertainties. All
statements within, other than statements of historical fact, are to be
considered forward looking. There can be no assurances that such statements
will prove accurate and, therefore, readers are advised to rely on their own
evaluation of such uncertainties. The TSX Venture Exchange or the Frankfurt
Stock Exchange did not approve nor do not accept responsibility for the
adequacy or accuracy of this news release.
CAUTIONARY NOTE TO U.S. INVESTORS
The United States Securities and
Exchange Commission permits U.S. mining companies, in their filings with the
SEC, to disclose only those mineral deposits that a company can economically
and legally extract or produce. We use certain terms in this news release,
such as 'measured resources,' 'indicated resources' and 'inferred resources,'
which the SEC guidelines strictly prohibit U.S. registered companies from
including in their filings with the SEC. U.S. investors are urged to consider
closely the disclosure in our Form 20-F. The news release contains
information about adjacent properties on which we have no right to explore or
mine. U.S. investors are cautioned that mineral deposits on adjacent
properties may not be indicative of mineral deposits on our properties.
Michael A. Iverson
Chairman & CEO
Tel: (604) 856-9887
Tel: (604) 662-4505
Toll-free: (877) 642-6200