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TSX: NHK
TORONTO, July 7, 2021 /CNW/ - Nighthawk Gold Corp.
("Nighthawk" or the "Company") (TSX: NHK) (OTCQX:
MIMZF) is pleased to announce that it has completed its previously
announced public offering of 8,265,250 units ("Units")
and 11,589,500 flow-through units (the "FT Units") on a
bought deal basis for aggregate proceeds of approximately
$27 million (the "Offering").
The Offering reflects the exercise in full of the over-allotment
option. The Offering was led by Sprott Capital Partners LP
and included PI Financial Corp., BMO Nesbitt Burns Inc., CIBC World
Markets Inc., Haywood Securities Inc., Scotia Capital Inc. and
Laurentian Bank Securities Inc. (collectively the
"Underwriters").
Keyvan Salehi, President and
CEO commented, "We are very pleased to have completed a
successfully upsized financing, bringing our current cash balance
to approximately $33 million. This
will allow Nighthawk to complete this year's drilling program in
addition to providing a healthy balance to kick-off the 2022
drilling season."
"The Phase I drill program for this year is expected to be
completed towards the end of July, where we then transition to
Phase II, which will follow up on the success from Phase I. Year to
date we have only released results for 4,048 metres from our
Grizzly Bear target within the Colomac Centre. Additional drilling
results are expected in short order, and we look forward to
providing an update in the near-term."
The Units were sold at a price of $1.15 per Unit and the FT Units were sold at a
price of $1.51 per FT Unit. Each Unit
is comprised of one non flow-through common share and half of one
common share purchase warrant (each whole warrant, a
"Warrant"). Each Warrant shall entitle the holder thereof to
acquire one common share at a price of $1.50 until July 7,
2023. Each FT Unit is comprised of one flow-through common
share and half of one Warrant, issued on a flow-through basis. The
common share and Warrant components of the FT Units will qualify as
a "flow-through share" within the meaning of the Income Tax
Act (Canada).
The net proceeds from the sale of the Units will be used for
general and administrative expenses and the gross proceeds from the
sale of the FT Units will be used for exploration expenditures on
Nighthawk's Indin Lake Gold Property, located in Canada's Northwest
Territories. The Company's drill program is focused on
mineral resource expansion opportunities and testing greenfield
targets to identify new, near-surface mineralization proximal to
the main Colomac Deposit.
The Underwriters were paid a cash commission in connection with
the Offering. The Underwriters were also issued 595,642
broker warrants exercisable until July 7,
2023, at an exercise price equal to $1.15 per common share.
This news release does not constitute an offer to sell or a
solicitation of an offer to sell any of the securities in
the United States. The securities
have not been and will not be registered under the United States
Securities Act of 1933, as amended (the "U.S. Securities
Act") or any state securities laws and may not be offered or
sold within the United States or
to U.S. Persons unless registered under the U.S. Securities Act and
applicable state securities laws or an exemption from such
registration is available.
Qualified Person
Richard Roy
P.Geo., V.P. Exploration of Nighthawk, who is the "Qualified
Person" as defined by NI 43-101 for this project, has reviewed and
approved of the scientific and technical disclosure contained in
this news release.
About Nighthawk
Nighthawk is a Canadian-based gold
exploration company with 100% ownership of a district-scale land
position within the Indin Lake Greenstone Belt, located
approximately 200km north of Yellowknife, Northwest Territories, Canada. Within this
largely under explored Archean gold camp, the Company has
identified a number of high-priority targets all centred around a
growing deposit. These targets lie within large regional
deformation zones that contain gold mineralization which warrant
additional exploration and follow-up. The main goals and objectives
over the next 6-12months will be to carry out exploration to
support mineral resource expansion opportunities as well as to
foster new, near-surface discoveries that support the global
mineral resource base.
The Company has an experienced and dedicated team with a track
record of successfully advancing projects and is well funded and
supported to advance its near-term goals and objectives.
Website: www.nighthawkgold.com
|
Keyvan
Salehi
|
Michael
Leskovec
|
Suzette N
Ramcharan
|
|
President &
CEO
|
CFO
|
VP, Corporate
Development
|
Forward-Looking Information
This news release contains "forward-looking information" within
the meaning of applicable Canadian securities legislation.
Forward-looking information includes, but is not limited to,
information with respect to: the Company's exploration initiatives
and the use of proceeds. Generally, forward-looking information can
be identified by the use of forward-looking terminology such as
"plans", "expects", or "does not expect", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates", or
"does not anticipate", or "believes" or variations of such words
and phrases or state that certain actions, events or results "may",
"could", "would", "might", or "will be taken", "occur", or "be
achieved".
Forward-looking information is based on the opinions and
estimates of management at the date the information is made, and is
based on a number of assumptions and is subject to known and
unknown risks, uncertainties and other factors that may cause the
actual results, level of activity, performance or achievements of
Nighthawk to be materially different from those expressed or
implied by such forward-looking information, including risks
associated with the exploration, development and mining such as
economic factors as they effect exploration, future commodity
prices, changes in foreign exchange and interest rates, actual
results of current exploration activities, government regulation,
political or economic developments, environmental risks, permitting
timelines, capital expenditures, operating or technical
difficulties in connection with development activities, employee
relations, the speculative nature of gold exploration and
development, including the risks of diminishing quantities of
grades of reserves, contests over title to properties, and changes
in project parameters as plans continue to be refined as well as
those risk factors discussed in Nighthawk's annual information form
for the year ended December 31, 2020,
available on www.sedar.com. Although Nighthawk has attempted
to identify important factors that could cause actual results to
differ materially from those contained in forward-looking
information, there may be other factors that cause results not to
be as anticipated, estimated or intended. There can be no assurance
that such information will prove to be accurate, as actual results
and future events could differ materially from those anticipated in
such information. Accordingly, readers should not place undue
reliance on forward-looking information. Nighthawk does not
undertake to update any forward-looking information, except in
accordance with applicable securities laws.
SOURCE Nighthawk Gold Corp.
