Golden Shield Announces Non-Brokered Private Placement to Raise CAD $2 Million

Executive Summary

• Golden Shield Resources Inc. announced a non-brokered private placement to raise up to CAD $2,000,000.
• The company intends to issue up to 8,000,000 units at a price of CAD $0.25 per unit.
• Net proceeds will be used to advance permitting at the Marudi Mountain Gold project in Guyana, conduct project evaluations in South America, and fund general working capital.

Key Details

• Offering Structure: Non-brokered private placement.
• Units Issued: Up to 8,000,000 units.
• Price: CAD $0.25 per unit.
• Gross Proceeds: Up to CAD $2,000,000.
• Unit Composition: Each unit consists of one common share and one non-transferable common share purchase warrant.
• Warrant Terms:
  • Each warrant is exercisable to acquire one common share.
  • Exercise Price: CAD $0.35 per share.
  • Initial Expiry: 12 months from the date of issuance.
  • Acceleration Clause: If the 5-day volume-weighted average trading price on the CSE is equal to or greater than $0.40 at the close of any trading day, the Company may accelerate the expiry date.
  • Accelerated Expiry: Deemed to be on the 30th day following the issuance of a Warrant Acceleration Press Release. Unexercised warrants expire immediately after this date without compensation.
• Use of Proceeds:
  • Advance permitting at the Marudi Mountain Gold project (southern Guyana).
  • Project evaluations in South America.
  • General working capital.
• Regulatory Conditions: Closing is subject to receipt of all necessary regulatory approvals, including approval of the Canadian Securities Exchange (CSE).
• Hold Period: All securities are subject to a four-month hold period in accordance with applicable Canadian securities laws.