Proactive Investors - Japan Gold Corp (TSXV:JG) has announced the completion of the second and third tranches of a non-brokered private placement of company common shares, raising gross proceeds of $325,000 by selling 1,625,000 Japan Gold shares, at a price of $0.20 per share, in the second tranche as well as issuing 525,000 company shares for gross proceeds of $105,000 in the third tranche.
The Japan-focused Canadian mineral exploration firm said together with the first tranche of the financing, it issued a total of 30.65 million company shares for gross proceeds of $6.13 million.
Japan Gold noted that it intends to use proceeds of the offering for drilling, drill targeting, advancing the prospect pipeline from the company's large portfolio of exploration projects, and for general working capital purposes.
The company added that in connection with the second tranche of private placement, it paid $4,500 in cash and issued a total of 22,500 finder's warrants to arm's-length finders, which are exercisable at $0.20 per share until May 26, 2024.
No finder's fees were paid in connection with the offering’s third tranche.
As well, Japan Gold stated that the shares, finder's warrants and the underlying shares issued under the second tranche of the financing will be subject to a hold period of four months expiring on September 27, 2023, while shares issued under the third tranche of the offering will be subject to a hold period of four months expiring on September 30, 2023.
Japan Gold is focused solely on gold exploration across the three largest islands of Japan: Hokkaido, Honshu, and Kyushu. It holds a portfolio of 32 gold projects which cover areas with known gold occurrences, a history of mining and are prospective for high-grade epithermal gold mineralization.