TSX.V: JAU
VANCOUVER, May 26, 2011 /PRNewswire/ - Jet Gold Corp.
(TSX-V: JAU) (the "Company") is pleased to announce the closing
of a non-brokered private placement with the MineralFields Group of
2,954,545 flow-through units ("FT Units") at a price of
$0.22 per FT Unit for total proceeds
of $650,000. Each FT Unit consists of
one flow-through common share and one non-flow-through share
purchase warrant with a term of 24 months and an exercise price of
$0.25, and is subject to a hold
period until September 14, 2011.
In connection with the private placement, the
Company paid a cash finder's fee of 6% of the gross proceeds and
issued options to acquire units equal to 10% of the number of FT
Units subscribed for to Limited Market Dealer Inc. Each option has
a term of 24 months, is subject to a hold period until September 14, 2011, and entitles the holder to
purchase one unit at an exercise price of $0.25 in year 1 and $0.35 in year 2. Each unit consists of one common
share and one share purchase warrant with a term of 24 months and
an exercise price of $0.35 in year 1
and $0.45 in year 2.
The completion of the private placement and the
payment of the finder's fees remain subject to the receipt of all
necessary regulatory approvals, including the approval of the TSX
Venture Exchange.
The proceeds of the flow-through financing will
be used to conduct exploration on the Company's Big Hammer
gold/tellurium property located SE of Terrace, British Columbia and also a work
program on the company's Kshish molybdenum property located NE of
Terrace. The Company expects to start the exploration of both
properties with an airborne survey over both claim groups in
June. Ground exploration of sampling, geological mapping and
trenching is expected to follow on the Big Hammer property.
Exploration work on the Kshish property is expected to begin in
late June or early July depending on ground conditions.
Brad J. Moynes,
President of the Company stated, "We are very pleased to be
entering into this relationship with the MineralFields Group.
This financing is an important milestone in the growth of the
Company and we look forward to working with MineralFields as we
develop our holdings in the Big Hammer and the Kshish
properties."
"About MineralFields, Pathway and First Canadian
Securities ®"
MineralFields Group (a division of Pathway Asset
Management), based in Toronto,
Montreal, Vancouver and Calgary, is a mining fund with significant
assets under administration that offers its tax-advantaged super
flow-through limited partnerships to investors throughout
Canada as well as hard-dollar
resource limited partnerships to investors throughout the world.
The sector focus is on gold and precious metals, base metals, rare
earths and lithium, potash, uranium, oil, coal and gas. Pathway
Asset Management also specializes in the manufacturing and
distribution of structured products and mutual funds (including the
Pathway Multi Series Funds Inc. corporate-class mutual fund
series). Information about MineralFields Group is available at
www.mineralfields.com. First Canadian Securities ® (a
division of Limited Market Dealer Inc.) is active in leading
resource financings (both flow-through and hard dollar PIPE
financings) on competitive, effective and service-friendly terms,
and offers investment banking, mergers and acquisitions, and mining
industry consulting, services to resource companies.
MineralFields and Pathway have financed several hundred mining and
oil and gas exploration companies to date through First Canadian
Securities ®, and have raised over $1
billion in their 10 year history.
On behalf of the board of directors,
Jet Gold Corp.
"Brad J. Moynes"
Brad J.
Moynes
President & CEO
"Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release."
Statements containing forward-looking
information express, as at the date of this news release, the
Company's plans, estimates, forecasts, projections, expectations,
or beliefs as to future events or results and are believed to be
reasonable based on information currently available to the
Company.
Forward-looking statements and information
are based on assumptions that financing and personnel will be
available when required and on reasonable terms, and all necessary
regulatory approvals and shareholder approval will be obtained,
none of which are assured and are subject to a number of other
risks and uncertainties
There can be no assurance that
forward-looking statements will prove to be accurate. Actual
results and future events could differ materially from those
anticipated in such statements. Readers should not place undue
reliance on forward-looking information.
SOURCE Jet Gold Corp.