Taiga Gold Announces $2,500,000 Flow Through Unit Private Placement

Rhea-AI Summary

Taiga Gold Corp (CSE:TGC) plans a non-brokered private placement of up to 12,500,000 flow-through units at $0.20 each, aiming for gross proceeds of $2,500,000. Each unit includes a common share and a warrant, allowing purchase at $0.30 for 30 months post-offering. The company secures $1,500,000 from REDPLUG investors and $500,000 from existing shareholders. Funds will support exploration at the Fisher, Orchid, and Mari Lake projects in Saskatchewan. The offering is subject to CSE approval and expected to close on April 15, 2021.

Positive

• Company raising $2,500,000 through flow-through unit offering to enhance exploration projects.
• Existing orders include $1,500,000 from REDPLUG investors and $500,000 from shareholders, indicating strong investor interest.
• Funds will advance key exploration projects in Saskatchewan, improving growth prospects.

Negative

• None.

CRANBROOK, BC / ACCESSWIRE / April 12, 2021 / Taiga Gold Corp (CSE:TGC) ("Taiga" or the "Company") announces that it intends to complete a non-brokered private placement to arms-length and non-arms- length investors of up to 12,500,000 flow-through units of the Company (each, a "FT Unit") at a price of $0.20 per FT Unit for gross proceeds of up to $2,500,000 (the "Offering").

Each FT Unit will consist of one common share of the Company to be issued on a "flow-through" basis pursuant to the Income Tax Act (Canada) (a "FT Share") and one transferable common share purchase warrant (a "Warrant"). Each Warrant will entitle the holder to purchase one additional common share of the Company at a price of $0.30 at any time prior to the date that is thirty (30) months following the closing date of the Offering, subject to an accelerated expiry provision. If, at any time after the closing date of the Offering, the closing price of the Company's common shares on the Canadian Securities Exchange (the "Exchange") is greater than $0.60 per share for a period of 10 consecutive trading days, the Company may elect to accelerate the expiry date of all convertible securities issued in connection with the Offering, including the Warrants, at any date that is four months and one day after the closing date of the Offering, by giving notice to the holders of the Warrants. In such case, the Warrants would be subject to an expiry date that is 30 days after the date on which such notice is given by the Company (the "Accelerated Expiry Provision").

Taiga has engaged REDPLUG Inc. as its exclusive financial advisor in connection with the Offering. REDPLUG is a registered exempt market dealer specializing in private placements in the junior resource sector, with a primary focus on gold, silver, platinum and palladium. REDPLUG's accredited investor clients are building positions in well-managed, insider-owned, resource companies including prospect generators, advanced explorers, resource developers, and near-term producers.

Taiga has $1,500,000 in lead orders from REDPLUG investors and approximately $500,000 from existing shareholders, including directors and employees. The Company expects to close the Offering on or around Thursday, April 15^th.

The gross proceeds of the Offering will be used to advance Taiga's Fisher, Orchid and Mari Lake exploration projects located in Saskatchewan, for exploration expenses that qualify as "flow-through mining expenditures" as defined in the Income Tax Act (Canada).

Taiga Gold CEO Tim Termuende commented: "Taiga now has six gold projects in Saskatchewan either owned 100% by TGC, or with active joint-venture and option partners. Taiga's flagship property is the Fisher Gold project which borders SSR Mining's Seabee Gold operation, which has produced over 1.2M oz of gold to date. SSR recently made a $3,000,000 cash payment to Taiga to earn-in its 80% interest in the Fisher JV. With these funds, the Company now has a stronger treasury which will provide Taiga with the flexibility to participate in the Fisher JV and to accelerate work to advance its 100%-owned Orchid and Mari Lake projects."

Securities issued in connection with the Offering will be offered by way of private placement in all provinces and territories of Canada, pursuant to applicable exemptions from the prospectus requirements under applicable securities laws. Securities issued in connection with the Offering will be subject to a statutory hold period expiring four months and one day after closing of the Offering. Completion of the Offering is subject to approval of the Canadian Securities Exchange (the "Exchange").

A cash finder's fee may be paid to registered dealers in connection with the Offering, subject to compliance with applicable securities legislation and the policies of the Exchange.

About Taiga Gold Corp:

Taiga Gold Corp. was created in 2018 through a plan of arrangement with Eagle Plains Resources Ltd. and owns 6 projects targeting gold located within the Trans Hudson Corridor in the area near the Seabee Gold Operation, owned and operated by SSR Mining. Taiga's flagship Fisher property is currently being explored by the Fisher JV, which is owned 20% by Taiga. Taiga also owns a 2.5% NSR over the majority of the Fisher property area, which includes a $100,000 annual advance royalty payable to Taiga. Taiga's 100%-owned Leland, Chico and SAM properties are currently under option to partners SKRR Exploration, Aben Resources and DJ1 Capital, respectively. Taiga continues to advance its 100%-owned Orchid and Mari Lake projects.

Taiga's objective is to focus on the exploration and development of its gold projects located adjacent to the Seabee Gold Operation and along the Tabbernor Fault structure in eastern Saskatchewan, a highly prospective mining jurisdiction which was recently recognized by the Fraser Institute as one of the best places in the world in terms of Investment Attractiveness. Throughout the exploration and development process, our mission is to help maintain prosperous communities by exploring for and discovering resource opportunities while building lasting relationships through honest and respectful business practices.

On behalf of the Board of Directors

"Tim J. Termuende, P.Geo."
President and CEO

For further information on TGC, please contact Mike Labach at

1 866 HUNT ORE (486 8673)

Email: info@taigagold.com or visit our website at http://taigagold.com

Cautionary Note Regarding Forward-Looking Statements

Neither the CSE nor any other regulatory body has reviewed or approved the contents of this news release. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming financings, work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements

SOURCE: Taiga Gold Corp.

View source version on accesswire.com:
https://www.accesswire.com/639878/Taiga-Gold-Announces-2500000-Flow-Through-Unit-Private-Placement

FAQ

What is the purpose of Taiga Gold's $2.5 million private placement?

The funds will be used to advance exploration projects in Saskatchewan, specifically at the Fisher, Orchid, and Mari Lake projects.

How much is each flow-through unit priced at in Taiga Gold's offering?

Each flow-through unit is priced at $0.20.

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

The offering is expected to close on April 15, 2021.

What are the key features of the flow-through units offered by Taiga Gold?

Each flow-through unit consists of one common share and one warrant, with the warrant allowing purchase of an additional share at $0.30.

Who is acting as the financial advisor for Taiga Gold's offering?

REDPLUG Inc. is the exclusive financial advisor for the private placement.