P2 Gold closes $5.99-million first tranche of placement

Executive Summary

• P2 Gold Inc. closed the first tranche of its non‑brokered private placement, issuing 29,965,500 units at $0.20 per unit for gross proceeds of $5,993,100.
• Each unit includes one common share and one warrant (exercise price $0.30, exercisable after 60 days, with a two‑year term). The company removed the acceleration provision and added a notice requirement for holders reaching a 10 % ownership threshold.
• Proceeds will fund exploration and development at the Gabbs project in Nevada and general corporate purposes; finders’ fees of $26,155 were paid and 130,775 warrants issued to finders.

Key Details

• Offering Size & Pricing: Up to 55 million units at $0.20 per unit (maximum gross proceeds $11 M). First tranche: 29,965,500 units → $5,993,100.
• Unit Composition: 1 common share + 1 common‑share purchase warrant per unit.
• Warrant Terms:
• Exercise price $0.30 per share.
• Exercisable after 60 days from issue; two‑year expiry.
• Acceleration provision removed.
• Holders owning ≥10 % of outstanding shares (including convertible securities) must give 61‑day written notice before exercising.
• Use of Proceeds: Finance exploration and development at the Gabbs gold‑copper project in Nevada; general corporate purposes.
• Finders’ Fees & Finder Warrants: $26,155 paid; 130,775 warrants issued to finders (representing 5 % of proceeds raised from subscriptions and 5 % of units issued to certain placees).
• Insider Participation: Insiders subscribed for 500,000 units; transaction qualifies as a related‑party transaction under MI 61‑101. Exemptions relied upon because insider participation ≤25 % of fair market value of the company’s market cap.
• Regulatory Notes: Units sold to Canadian residents not subject to a hold period under Canadian securities law; insiders and certain consultants subject to a four‑month hold period per exchange policies.
• Documentation: Offering document available on SEDAR+ and the company website; investors urged to review before investing.

Notable Quotes

(No direct quotes were provided in the release.)