Contact Gold (C.V) has announced it is planning to issue up to 60 million units at C$0.05 to raise a total of C$3M. The raise is necessary to continue the drill programs at Green Springs as the company’s cash position has been depleted due to the ongoing exploration activities at the project.
The units consist of one common share of Contact Gold as well as half a warrant with each full warrant allowing the warrant holder to acquire an additional share of the company at an exercise price of C$0.075 for a period of 24 months. There is an acceleration clause which allows Contact Gold to ‘call’ the warrants once the shares close over C$0.15 for at least ten consecutive trading days.
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