VANCOUVER, Feb. 8, 2013 /CNW/ - Medgold Resources Corp. (TSX-V: MED),
the European focused gold exploration company, is pleased to announce
that it has arranged, subject to Exchange approval, a $975,000
non-brokered private placement financing of debentures which are
convertible into 6,500,000 common shares of the Company at the rate of
$0.15 per share. The debentures will bear interest at the rate of 8%
per annum and are convertible into shares for a period of up to two
years from closing of the financing.
The debenture holders will also receive warrants entitling them to
purchase up to 6,500,000 additional common shares at $0.15 per share,
exercisable for one year from the date of issuance of the debentures.
The proceeds of the financing will be used for exploration of the
Company's projects in Europe and for general working capital purposes.
Medgold is aiming to become the leading Mediterranean-focused gold
exploration and project development company, with an extensive pipeline
of projects across Portugal, Italy and Spain, targeting economically
stressed, but politically stable European countries that are seeking
foreign investment to invigorate the mining sector.
Additional information on Medgold can be found on the Company's website
at www.medgoldresources.com and by reviewing the Company's page on SEDAR at www.sedar.com.
ON BEHALF OF THE BOARD
Dan James, President
Neither the TSX Venture Exchange nor the Investment Industry Regulatory
Organization of Canada accepts responsibility for the adequacy or
accuracy of this release.
This press release may contain forward-looking statements including, but
not limited to, comments regarding the timing and content of upcoming
work programs, geological interpretations, receipt of property titles,
potential mineral recovery processes, and other related matters.
Forward-looking statements address future events and conditions and
therefore involve inherent risks and uncertainties. Medgold Resources'
projects in Europe are at an early stage and all estimates and
projections are based on limited, and possibly incomplete, data. More
work is required before the mineralization and the projects' economic
aspects can be confidently modelled. Actual results may differ
materially from those currently anticipated in this presentation. No
representation or prediction is intended as to the results of future
work, nor can there be any promise that the estimates and projections
herein will be sustained in future work or that the project will
otherwise prove to be economic.
SOURCE: Medgold Resources Corp.
For further information:
Jaclyn Ruptash (Vancouver)
Dan James (London)
+44 (0) 207 305 7050 / +44 (0) 7972 579188