Ongold Resources arranges $7.7-million financing
Executive Summary
- Ongold Resources Ltd. announced a bought‑deal private placement for aggregate gross proceeds of $7,700,137.50, to be closed on or about Oct. 1, 2025.
- The offering consists of 2,590,700 Ontario flow‑through (FT) shares at $0.965 each, 2,283,200 Manitoba FT shares at $1.095 each, and 3,970,600 hard‑dollar (HD) shares at $0.68 each.
- Proceeds from the FT shares will be used to fund eligible Canadian exploration expenses in Ontario and Manitoba; HD share proceeds are earmarked for working capital and general corporate purposes.
Key Details
- Total Shares Offered: 8,844,500 common shares
- Ontario FT Shares: 2,590,700 @ $0.965 → $2,500,025.50 gross proceeds
- Manitoba FT Shares: 2,283,200 @ $1.095 → $2,500,104.00 gross proceeds
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Hard‑Dollar Shares: 3,970,600 @ $0.68 → $2,700,008.00 gross proceeds
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Lead Underwriter / Sole Bookrunner: Paradigm Capital Inc., with a syndicate to be formed.
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Use of Proceeds:
- Ontario FT proceeds → eligible Ontario exploration expenditures (per Subsection 103(4) of the Ontario Tax Act).
- Manitoba FT proceeds → flow‑through mining expenditures in Manitoba (per Subsection 11.7(1) of the Manitoba Income Tax Act).
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HD proceeds → working capital and general corporate purposes, as described in the LIFE offering document.
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Regulatory Framework: Offered under the Listed Issuer Financing Exemption (LIFE) pursuant to NI 45‑106 Part 5A and Coordinated Blanket Order 45‑935; no resale restrictions in Canada; may be offered/resold offshore and in the U.S. under applicable exemptions.
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Closing Date: Expected on or about Oct. 1, 2025, subject to regulatory approvals including TSX Venture Exchange consent.
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Offering Documentation: Available on SEDAR+ and the company website; investors advised to review the LIFE offering document before investing.