Northern Shield closes final tranche of financing

Executive Summary

• Northern Shield Resources Inc. has closed the second and final tranche of its previously announced non-brokered private placement, bringing total aggregate gross proceeds to $1,165,000.
• The company issued a total of 12,290,910 units (6.7 million common units and 5,545,600 flow-through units) across two tranches, with the final tranche raising $330,000.
• Proceeds will be utilized to continue the diamond drill program at the Root & Cellar property and for general working capital.

Key Details

• Total Gross Proceeds: $1,165,000.
• Tranche 1 Details: Issued 6,700,000 common units and 9,090,910 flow-through (FT) units for aggregate gross proceeds of $835,000.
• Tranche 2 Details: Issued 500,000 common units and 5,545,600 FT units for aggregate gross proceeds of $330,000.
• Unit Structure:
  • Each common unit consists of one common share and one common share purchase warrant.
  • Each FT unit consists of one common share issued on a flow-through basis and one-half of one common share purchase warrant.
• Warrant Terms:
  • FT Warrants: Exercisable for one common share at $0.075 per share within 12 months of closing.
  • Common Warrants: Exercisable for one common share at $0.075 per share within 36 months of closing.
• Hold Period: All securities are subject to a four-month-and-one-day statutory hold period.
• Finders' Fees: The company paid $60,000 in finders' fees and issued 1,118,190 finders' warrants.
• Use of Proceeds: Continue diamond drill program at the Root & Cellar property and for general working capital.