Firefox Gold Announces Non-Brokered Private Placement and Completion of Shares for Services Transaction

Rhea-AI Summary

FireFox Gold Corp. (TSX.V:FFOX) (OTCQB:FFOXF) announced a non-brokered private placement aiming to raise up to $2,000,000. The placement involves issuing up to 40 million units at $0.05 per unit. Each unit includes one common share and one common share purchase warrant, exercisable at $0.08 per share for three years. Proceeds will fund exploration projects in Finland and general working capital. As of now, FireFox has 175.4 million shares, 57.1 million warrants, and 15.7 million options outstanding. The private placement is expected to close by July 12, 2024, with a four-month hold period for issued shares. Additionally, FireFox completed a shares-for-services transaction, issuing 490,851 common shares at $0.08 each to Agentis Capital Mining Partners for advisory services, valued at $39,268.08. These shares also have a four-month hold period, expiring on September 28, 2024.

Positive

• FireFox Gold expects to raise up to $2,000,000 through a non-brokered private placement.
• Proceeds will fund exploration projects in Finland and general working capital.
• Completion of shares-for-services transaction with Agentis Capital Mining Partners valued at $39,268.08.
• The issued shares from the private placement and shares-for-services transaction are subject to a four-month hold period.

Negative

• The private placement will lead to shareholder dilution with the issuance of up to 40 million new units.
• Each unit issued at a low price of $0.05, potentially signaling undervaluation.
• The exercise price of the warrants at $0.08 could indicate immediate upside.

NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. WIRE SERVICES

VANCOUVER, BC / ACCESSWIRE / June 19, 2024 / FireFox Gold Corp. (TSX.V:FFOX)(OTCQB:FFOXF)("FireFox" or the "Company") announces that it intends to raise up to $2,000,000 by way of a non-brokered private placement (the "Private Placement"). The Private Placement will consist of up to 40 million units of the Company ("Units") at a price of $0.05 per Unit. Each Unit will consist of one common share of the Company ("Common Share") and one full common share purchase warrant ("Warrant"), with each whole Warrant being exercisable to acquire one common share of the Company (a "Warrant Share") at an exercise price of $0.08 per Warrant Share for a term of three years following the closing of the Offering.

The proceeds of the Private Placement will be used for mineral exploration and related expenditures on FireFox's Mustajärvi, Jeesiö, and Sarvi projects in northern Finland and general working capital. Prior to this financing, FireFox has 175.4 million shares, 57.1 million warrants and 15.7 million options outstanding.

The Shares issued pursuant to the Private Placement will be subject to a statutory hold period of four months plus one day from the date of issuance, in accordance with applicable securities legislation. The Company anticipates that the Private Placement will close on or about July 12, 2024. The Company expects to pay finder's fees in association with this financing.

The Company also announces that it has completed the previously announced issuance of shares in exchange for advisory services ("Shares for Services"). FireFox entered into an agreement for services with Agentis Capital Mining Partners ("Agentis"), an arm's length party, pursuant to which the Company has now issued 490,851 common shares of the Company with a value of $0.08 per share in full satisfaction of an Agentis invoice in the amount of $39,268.08.

These securities will also be subject to a four month hold period, expiring September 28, 2024. The Shares for Services arrangement received final acceptance from 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, please refer to the Company's website and profile on the SEDAR+ website at www.sedarplus.com.

On behalf of the Board of Directors,

"Carl Löfberg"
Chief Executive Officer

CONTACT:

FireFox Gold Corp.
Email: info@firefoxgold.com
Telephone: +1-778-938-1994

Forward Looking Statements

The information herein 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.

SOURCE: FireFox Gold Corp

View the original press release on accesswire.com

FAQ

What is the purpose of FireFox Gold's private placement announced on June 19, 2024?

The purpose of the private placement is to raise up to $2,000,000 for mineral exploration projects in Finland and general working capital.

How many units will FireFox Gold issue in the private placement?

FireFox Gold will issue up to 40 million units at a price of $0.05 per unit.

What are the components of each unit in the FireFox Gold private placement?

Each unit consists of one common share and one common share purchase warrant, exercisable at $0.08 per share for three years.

When is the expected closing date for FireFox Gold's private placement?

The private placement is expected to close on or about July 12, 2024.

What is the hold period for shares issued in FireFox Gold's private placement?

The shares will be subject to a statutory hold period of four months plus one day.

What is the value and purpose of the shares-for-services transaction completed by FireFox Gold?

FireFox Gold issued 490,851 common shares valued at $39,268.08 to Agentis Capital Mining Partners for advisory services.

What is the hold period for shares issued in the shares-for-services transaction?

The shares are subject to a four-month hold period, expiring on September 28, 2024.