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VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 10, 2009) - BCGold
Corp. (TSX VENTURE:BCG) ("BCGold"
or the "Company") is pleased to announce that it has
completed its recently announced non-brokered private placement for
aggregate gross proceeds of $1,065,300 through the sale of 7,837,500
flow-through common units ("FT Unit") at a price of $0.08 per
FT Unit and 7,305,000 non flow-through units ("NFT Units") at
a price of $0.06 per NFT Unit. Each NFT Unit comprises one common share
and one-half of one common share purchase warrant, each whole such
common share purchase warrant exercisable to purchase one additional
common share at $0.12 per share for one year. Each FT Unit comprises
one flow through common share and one-half of one common share purchase
warrant, each whole such common share purchase warrant exercisable to
purchase one additional common share at $0.15 per share for one year. The
securities are subject to a hold period and may not be traded until
December 7, 2009 except as permitted by Canadian securities legislation
and the TSX Venture Exchange.
Two directors of the company subscribed for 600,000 of the above noted
units and accordingly these insiders have increased their holdings in BCGold. No commission or finder's fees were paid in
connection with their participation.
BCGold is pleased that Kinross Gold
Corporation ("Kinross") subscribed for 2,000,000 of the NFT
Units. Kinross previously held 4,025,000 common shares and 512,500
common share purchase warrants of BCGold,
representing approximately 13% of the issued and outstanding common
shares of BCGold prior to the financing. As a
result of the financing, Kinross holds 6,025,000 common shares and
1,512,500 common shares purchase warrants of BCGold,
representing approximately 16.17% (basic) of the issued and outstanding
common shares of BCGold following the
completion of the financing. BCGold relied on
the formal valuation and minority approval exemptions in subsections
5.5(a) and 5.7(a), respectively, of Multilateral Instrument 61-101 and
the financing was completed less than 21 days before the issuance of a
material change report with respect to the financing for commercial
reasons. The participation of Kinross in the financing was approved by
the Board of Directors of BCGold.
The remainder of the offering was subscribed by the MineralFields
Group of Companies, a second prominent fund and a number of private
investors. Finder's fees totalling $23,155 in cash, equal to 3% and 7%
of the amount placed by certain finders, 418,500 units and 430,000
broker's options were paid by the Company. BCGold
intends to use the proceeds from the offering to offset general
operating and direct exploration project costs, primarily on the
Company's Carmacks Copper Gold Properties in
Central Yukon and partially on the Company's Engineer Mine Property in
British Columbia.
About BCGold Corp.
BCGold Corp. (TSX VENTURE:BCG)
is a Vancouver-based junior resource company focused on copper and gold
exploration in under-explored historic mining and exploration districts
in British Columbia and Yukon. BCGold Corp.
acquires and develops conceptual, early and mid-stage, exploration
opportunities and advances them towards resource development by using
internal expertise, engaging preferred joint venture partners, and
creating strategic alliances with major exploration and mining
companies.
On behalf of the Board of Directors,
Brian P. Fowler, P. Geo., President & CEO
Some statements in this news release contain forward-looking
information. These statements include, but are not limited to,
statements with respect to future payments, expenditures and unit
issuances and exploration, development and production activities. These
statements address future events and conditions and, as such, involve
known and unknown risks, uncertainties and other factors, which may
cause the actual results, performance or achievements to be materially
different from any future results, performance or achievements
expressed or implied by the statements. Such factors include, among
others, the timing of future payments, expenditures and unit issuances
and the timing and success of future exploration, development and
production activities.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
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