Neither the 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.
VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 2, 2013) -
NOT FOR DISSEMINATION IN THE UNITED STATES OR TO UNITED STATES NEWSWIRE SERVICES.
Tyhee Gold Corp. (News - Market indicators) (the "Company") is pleased to announce that it will proceed with a non-brokered private placement of ten units of the Company (the "Units") at $240,000 per Unit. Each Unit will be comprised of 4,000,000 common shares of the Company and 4,000,000 transferable common share purchase warrants of the Company (the "Warrants"). Each Warrant will entitle the holder to purchase a further common share in the Company (the "Warrant Shares") at a price of $0.10 per Warrant Share within 24 months of closing. All securities sold in this private placement will be subject to a 4-month hold period from closing. The private placement is subject to the approval of the TSX Venture Exchange (the "Exchange").
The Company may pay a finder's fee on the private placement within the maximum amount permitted by the policies of the Exchange. The Company may complete multiple closings of the private placement, as subscriptions are received. Each closing is subject to a number of conditions, including receipt of all necessary corporate and regulatory approvals.
The funds will be used to advance Tyhee's Yellowknife Gold Project ("YGP"), an advanced stage wholly-owned gold project in the development and permitting stage, as well as for general corporate purposes. Please refer to the Company's news release of August 15, 2012 in respect of the Company's announcement of a positive feasibility study of the YGP prepared by SRK Consulting. This study estimated that, at a base-case gold price of US$1,400 per ounce and a projected 4,000 tonnes-per-day processing plant comprised of a conventional gravity-flotation-cyanide process and incorporating open-pit and underground mining methods on the Ormsby, Bruce Lake, Clan Lake and Nicholas Lake deposits, the YGP is estimated to return a pre-tax net present value at a 5% discount rate of approximately $216 million and an internal rate of return of 20% based on initial estimated capital cost of $193 million (including a 10% contingency).
All statements in this news release, other than statements of historical facts, that address events or developments that the Company expects to occur, including statements regarding the closing of the non-brokered financing, the proposed use of funds, expectation of multiple closings of the private placement, and the results of the feasibility study on the Yellowknife Gold Project, are "forward-looking statements". Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause the Company's actual results, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. Forward-looking statements are not guarantees of future performance, and actual results and future events could materially differ from those anticipated in such statements. Factors that may cause actual results to vary from those made in the forward looking statements described in this document include: timing of completion of financing necessary to bring the project into production; changes in general economic conditions and conditions in the financial markets; changes in demand and prices for minerals; delays in obtaining approvals, litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; delays in completion of work necessary to develop the Yellowknife Gold Project, whether as a result of adverse weather conditions, contract or labour disputes, equipment failure, or response to regulatory enquiries in respect of permit applications; technological and operational difficulties encountered in connection with the activities of the company. This list is not exhaustive of the factors that may affect the forward looking statements. These and other factors should be considered carefully and readers should not place undue reliance on the companies' forward-looking information. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, events or otherwise, except in accordance with applicable securities laws.
This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.