Trading Symbol: TSX: GGD
Shares Issued: 146,614,830
HALIFAX, July 8, 2014 /CNW/ - GoGold Resources Inc. ("GoGold" or the "Company") (TSX: GGD) is pleased to announce the successful completion of its early warrant exercise incentive program (the "Warrant Incentive Program") as described in a press release dated June 20, 2014. In connection with the Warrant Incentive Program, 6,046,650 Warrants were exercised, providing gross proceeds of $9,131,940 to the Company and resulting in the Company issuing 6,696,756 Common Shares.
Terry Coughlan, President and CEO of GoGold stated, "We would like to thank those who participated in the program. With these additional funds we are in a strong financial position to move the Santa Gertrudis gold mine project forward to production. A Preliminary Economic Assessment Study (PEA) is underway using the recently completed NI 43-101 resource report for the project. We expect our contractor will complete the PEA in next three to five weeks. We anticipate we will be moving directly into the permitting and engineering studies when the PEA is completed."
The remaining Warrants that were not exercised under the Warrant Incentive Program will continue to entitle the holder to acquire one Common Share at the exercise price of $1.50 per Common Share until January 24, 2015 in accordance with its terms and the terms of the warrant indenture governing the Warrants.
The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws, and may not be offered or sold within the United States or to, or for the benefit of, U.S. persons (as defined in Regulation S under the U.S. Securities Act) except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities laws or pursuant to exemptions therefrom. This release does not constitute an offer to sell or a solicitation of an offer to buy of any of GoGold's securities in the United States.
This news release may contain "forward-looking information" as defined in applicable Canadian securities legislation. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding the Early Exercise Period and future plans and objectives of GoGold, constitute forward-looking information that involve various risks and uncertainties. Forward-looking information is based on a number of factors and assumptions which have been used to develop such information but which may prove to be incorrect, including, but not limited to, assumptions in connection with the continuance of GoGold and its subsidiaries as a going concern and the ability to satisfy all conditions to implementing the Warrant Incentive Program. There can be no assurance that such information will prove to be accurate and actual results and future events could differ materially from those anticipated in such forward-looking information.
Important factors that could cause actual results to differ materially from GoGold's expectations include the failure of holders to exercise their Warrants under the Warrant Incentive Program and global economic conditions. For additional information with respect to risk factors applicable to GoGold, reference should be made to GoGold's continuous disclosure materials filed from time to time with securities regulators, including, but not limited to, GoGold's Annual Information Form. The forward-looking information contained in this release is made as of the date of this release.
SOURCE: GoGold Resources Inc.
For further information:
Terence F. Coughlan, President and CEO,
Sean Tufford, Vice President, Corporate Development
GoGold Resources Inc.,
T: 902 482-1998
F: 902 442-1898