BARU GOLD COMPLETES SECOND AND FINAL TRANCHE OF PRIVATE PLACEMENT
Baru Gold Corp. has completed its second and final tranche of its private placement for an aggregate of $56,210, issuing 3,747,333 units previously announced on Sept. 16, 2024. The company has raised a total of $109,209.95 and issued 7,280,663 units from both tranches. Each unit will comprise one common share in the capital of the company and one non-transferable common share purchase warrant. Each warrant shall be exercisable for one share for two years from the date such warrant is issued at an exercise price of five cents.
The proceeds raised from the private placement will be used for working capital and preproduction expenses while the company awaits the issuance of the state of activity upgrade to production operation status with no payments to non-arm's-length parties and/or investor relations providers. No finders' fees were paid in connection with this issue.
The private placement is subject to final exchange approval. All securities issued in the private placement will be subject to a four-month hold period expiring Feb. 16, 2025.
The private placement is also subject to final exchange approval.
About Sangihe gold project
The Sangihe gold project is located on the Indonesian island of Sangihe, off the northern coast of Sulawesi. Sangihe has an existing National Instrument 43-101 inferred mineral resource of 114,700 indicated and 105,000 inferred ounces of gold, as reported in the company's "Independent Technical Report on the Mineral Resource Estimates of the Binebase and Bawone Deposits, Sangihe Project, North Sulawesi, Indonesia" (May 30, 2017). Readers are cautioned that mineral resources that are not mineral reserves do not have demonstrated economic viability.
The company intends to proceed to production without the benefit of first establishing mineral reserves supported by a feasibility study. The company cautions readers that the any production decision made by the company will not be based on an NI 43-101 feasibility study of mineral reserves that demonstrates economic and technical viability, and, as such, there may be involved increased uncertainty and various technological and economic risks.
The company's 70-per-cent interest in the Sangihe-mineral-tenement contract of work (CoW) is held through PT. Tambang Mas Sangihe (TMS). The remaining 30-per-cent interest in TMS is held by three Indonesian corporations. The term of the Sangihe CoW agreement is 30 years upon commencement of the production phase of the project.
Baru has met all the requirements of the Indonesian government and has been granted its environmental permit.
About Baru Gold Corp.
Baru Gold is a dynamic junior gold developer with National Instrument 43-101 gold resources in Indonesia, one of the top 10 gold-producing countries in the world. Based in Indonesia and North America, Baru's team boasts extensive experience in starting and operating small-scale gold assets.