SONORO GOLD (TSX.V: SGO) ANNOUNCES $3.6 MILLION PRIVATE PLACEMENT
Sonoro Gold Corp. will undertake a non-brokered private placement offering consisting of up to 20,000,000 units at a price of 18 cents per unit, for gross proceeds of up to $3,600,000. Each unit will be composed of one Sonoro common share and one common share purchase warrant. Each warrant will entitle the holder thereof to purchase one additional Sonoro common share for a period of two years from the closing at an exercise price of 30 cents per share.
The company intends to pay finder's fees, as permitted under the policies of the TSX Venture Exchange, in respect of units placed with the assistance of registered securities dealers. All securities issued and issuable in connection with the offering will be subject to a 4-month hold period in Canada from the closing date. The offering is subject to TSX Venture Exchange acceptance.
The net proceeds from the Offering will be used to fund a 10,000-meter drilling campaign, commencing this month, at the company's Cerro Caliche gold project in Sonora, Mexico. Details on the drilling program were announced on Oct. 25, 2021 and the construction of access roads and drill pads has been initiated. Proceeds from the Offering will also be used for concession maintenance and general working capital.
Sonoro's chairman of the board, John Darch, stated: "The drilling program will proceed alongside the proposed development of a Heap Leach mining operation (HLMO) as outlined in the recently-completed preliminary economic assessment (PEA). The objective of the drilling campaign is to expand the project's oxide gold mineralization and target higher-grade, near-surface mineralization identified during a recent surface sampling program. Increasing the size and grade of the resource could potentially improve the economics of the project and extend operations."
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