FireFox Gold Announces Agreement with Kati Drilling for Shares for Debt

Rhea-AI Summary

FireFox Gold Corp. (FFOX) has entered into a shares-for-debt agreement with Oy Kati Ab Kalajoki for drilling services in Northern Finland. The company will issue 1,056,997 common shares at a value of $0.15 per share, totaling $158,549 in settlement for invoices received up to March 31, 2022. The shares will be subject to a four-month hold period and require TSX Venture Exchange approval. FireFox continues to explore gold in Finland, a top mining investment jurisdiction.

Positive

• Shares-for-debt agreement may help conserve cash flow.
• Continued exploration in a top mining jurisdiction supports growth potential.
• Favorable drilling services agreement enhances operational capacity.

Negative

• Issuance of shares could dilute existing shareholder value.

VANCOUVER, BC / ACCESSWIRE / June 2, 2022 / FireFox Gold Corp. ("FireFox" or the "Company") (TSXV:FFOX) announces that the Company has entered into an agreement with Oy Kati Ab Kalajoki ("Kati"), an arm's length party, pursuant to which the Company will issue common shares of the Company in full satisfaction of drilling services (the "Services") provided by Kati in Northern Finland.

The Company has received invoices from Kati for work performed to March 31, 2022 and under the Agreement will issue 1,056,997 common shares to Kati with a value of $0.15 per share in settlement of invoices totaling $158,549.

The securities will be subject to a four month hold period, expiring October 02, 2022. This shares-for-debt arrangement is subject to the approval of the TSX Venture Exchange.

About FireFox Gold Corp.

FireFox Gold Corp is listed on the TSX Venture Stock Exchange under the ticker symbol FFOX. FireFox also trades on the OTCQB Venture Market Exchange in the US under the ticker symbol FFOXF. The Company has been exploring for gold in Finland since 2017 where it holds a huge portfolio of prospective ground.

Finland is one of the top mining investment jurisdictions in the world as indicated by its multiple top-10 rankings in recent Fraser Institute Surveys of Mining Companies. Having a strong mining law and long mining tradition, Finland remains underexplored for gold. Recent exploration results in the country have highlighted its prospectivity, and FireFox is proud to have a Finland based CEO and technical team.

For more information concerning the Company, please refer to the Company's profile on the SEDAR website at www.sedar.com.

On behalf of the Board of Directors,

"Carl Löfberg"
Chief Executive Officer

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

CONTACT:
FireFox Gold Corp.
Email: info@firefoxgold.com
Telephone: 778-938-1994

Forward Looking Statements

The information in this news release contains forward looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Factors that could cause such differences include: changes in world commodity markets, equity markets, costs and supply of materials relevant to the mining industry, change in government and changes to regulations affecting the mining industry. Forward-looking statements in this release may include statements regarding: the current drill program, including the expected number, depth, location, and direction of the drill holes; the timing of assay results; and possible extensions of mineralization along with its thickness and quality. Although we believe the expectations reflected in our forward looking statements are reasonable, results may vary. The forward-looking statements contained in this press release represent the expectations of FireFox as of the date of this press release and, accordingly, are subject to change after such date. Readers should not place undue importance on forward-looking statements and should not rely upon this information as of any other date. FireFox does not undertake to update this information at any particular time except as required in accordance with applicable laws.

It should also be noted that while FireFox's properties are sometimes adjacent to or nearby operating or historic gold mines or active gold projects being advanced by other companies, the mineralization on properties nearby FireFox's land packages is not necessarily indicative of mineralization on FireFox's properties.

SOURCE: FireFox Gold Corp

View source version on accesswire.com:
https://www.accesswire.com/703670/FireFox-Gold-Announces-Agreement-with-Kati-Drilling-for-Shares-for-Debt

FAQ

What is the shares-for-debt agreement announced by FireFox Gold Corp on June 2, 2022?

FireFox Gold Corp announced a shares-for-debt agreement with Oy Kati Ab Kalajoki to issue 1,056,997 common shares at $0.15 per share, settling invoices totaling $158,549 for drilling services.

What is the impact of FireFox Gold Corp's shares-for-debt agreement on shareholders?

The shares-for-debt agreement may dilute existing shareholder value due to the issuance of new common shares.

When will the shares issued to Kati become available for trading?

The shares will be subject to a four-month hold period, expiring on October 2, 2022.

What is the ticker symbol for FireFox Gold Corp?

FireFox Gold Corp trades under the ticker symbol FFOX on the TSX Venture Exchange and FFOXF on the OTCQB Venture Market.