Canagold Resources Announces Additional Financing Plans

Rhea-AI Summary

Canagold Resources Ltd. announced plans for additional financing to support the feasibility study, permitting, and drilling at the New Polaris project. The Company is exploring various financing options, including private placement and rights offerings, following a $1.5M Charity FT financing announced on September 1, 2022. Anticipated participation from Sun Valley or its affiliates in future financing plans is in accordance with TSX policies. Canagold aims to advance the New Polaris project while seeking to expand its asset base through future acquisitions.

Positive

• Securing additional financing options to support project development.
• Anticipated participation from Sun Valley could enhance credibility and funding.
• Focus on advancing the New Polaris project may lead to future growth.

Negative

• Dependence on external financing could indicate potential cash flow issues.

VANCOUVER, British Columbia--(BUSINESS WIRE)-- Canagold Resources Ltd. (TSX: CCM, OTC-QB: CRCUF, Frankfurt: CANA) (the “Company” or “Canagold”), wishes to confirm that to ensure the Company remains well funded for the duration of its upcoming feasibility study, permitting and drilling at the New Polaris project, additional financing plans are under consideration.

Canagold is currently evaluating various financing options to secure additional sources of capital, including private placement, a rights offering and additional flow-through financing.

The additional financing plans would be undertaken following the conclusion of the $1.5M Charity FT financing announced by the Company on September 1, 2022.

Furthermore, it is anticipated that Sun Valley, or an affiliate thereof, will participate in Canagold’s future financing plans. Any future Sun Valley or affiliation participation will be consistent with, and subject to, the requirements and policies of the TSX.

About Canagold

Canagold Resources Ltd. is a growth-oriented gold exploration company focused on advancing the New Polaris Project through feasibility and permitting. Canagold is also seeking to grow its assets base through future acquisitions of additional advanced projects. The Company has access to a team of technical experts that can help unlock significant value for all Canagold shareholders.

“Catalin Kilofliski”

Catalin Kilofliski
Chief Executive Officer

Neither the Toronto Stock Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release.

Cautionary Note Regarding Forward-Looking Statements

This news release contains “forward-looking statements” within the meaning of the United States private securities litigation reform act of 1995 and “forward-looking information” within the meaning of applicable Canadian securities legislation. Statements contained in this news release that are not historical facts are forward-looking information that involves known and unknown risks and uncertainties. Forward-looking statements in this news release include, but are not limited to, statements with respect to the future performance of Canagold, and the Company's plans and exploration programs for its mineral properties, including the timing of such plans and programs. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "has proven", "expects" or "does not expect", "is expected", "potential", "appears", "budget", "scheduled", "estimates", "forecasts", "at least", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "should", "might" or "will be taken", "occur" or "be achieved".

Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such risks and other factors include, among others risks related to the uncertainties inherent in the estimation of mineral resources; commodity prices; changes in general economic conditions; market sentiment; currency exchange rates; the Company's ability to continue as a going concern; the Company's ability to raise funds through equity financings; risks inherent in mineral exploration; risks related to operations in foreign countries; future prices of metals; failure of equipment or processes to operate as anticipated; accidents, labor disputes and other risks of the mining industry; delays in obtaining governmental approvals; government regulation of mining operations; environmental risks; title disputes or claims; limitations on insurance coverage and the timing and possible outcome of litigation. Although the Company has attempted to identify important factors that could affect the Company and may cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, do not place undue reliance on forward-looking statements. All statements are made as of the date of this news release and the Company is under no obligation to update or alter any forward-looking statements except as required under applicable securities laws.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220907005381/en/

Knox Henderson, VP Corporate Development

Tel: (604) 604-416-0337; Cell: (604) 551-2360

Toll Free: 1-877-684-9700

Email: knox@canagoldresources.com

Website: www.canagoldresources.com

Source: Canagold Resources Ltd.

FAQ

What financing options is Canagold Resources Ltd. considering?

Canagold is exploring private placement, rights offerings, and additional flow-through financing.

What is the significance of the $1.5M Charity FT financing for Canagold?

This financing, announced on September 1, 2022, is being conducted before pursuing other financing options for the New Polaris project.

When was Canagold's last financing announcement?

The last financing announcement was made on September 1, 2022.

What is the focus of Canagold Resources Ltd.?

The Company focuses on advancing the New Polaris Project through feasibility, permitting, and exploring acquisitions for further growth.

Who might participate in Canagold's future financing efforts?

Sun Valley or its affiliates are anticipated to participate in Canagold's future financing plans.