/NOT FOR DISSEMINATION IN THE
UNITED STATES OR FOR DISTRIBUTION TO U.S. WIRE
SERVICES?
TORONTO,
July 7, 2014 /CNW/ - Viking Gold
Exploration Inc. (TSX-V: VGC), the "Company" or "Viking Gold",
announces that it has completed a debenture financing to raise
funds for general working capital purposes and to support existing
exploration property commitments. Details of this financing
follow.
On April 15, 2014,
the Company commenced a private placement for a maximum of
$150,000 of 10% unsecured convertible
debentures (the "Debentures"). The Debentures bear interest at the
rate of 10% per annum which interest will accrue and be paid on the
June 30, 2015 maturity date.
The Company has now completed this financing,
having received subscriptions for a total of $122,500 of the Debentures including the
placement of $10,000 with a related
party.
The Debentures (plus any unpaid and accrued
interest) are convertible, at the option of the holder, into units
(each a "Unit") at a conversion price (the "Conversion Price") of
$0.01 per Unit over the term of the
Debenture, subject to the TSX-V minimum pricing requirement of
$0.05 for the first 12 months and
$0.10 thereafter until maturity. In
the event of a share consolidation by the Company, the Conversion
Price will be adjusted proportionately, though it will still be
subject to the same $0.05 and
$0.10 TSX-V minimum pricing
requirements on a post-consolidation basis.
Each Unit consisted of one common share and one
common share purchase warrant. Each warrant entitles the holder to
acquire one common share of the Company at the Conversion Price for
a period of 36 months from the date of issuance of the warrant. The
TSX-V conditionally approved this transaction on April 16, 2014. The TSX-V, at its discretion, may
refuse to provide final acceptance of the subscription of any one
or more of the subscribers.
The Company presently has a total of 79,778,229
outstanding common shares, 4,845,280 outstanding common share
purchase warrants and 6,650,000 outstanding common share purchase
options.
Viking Gold also announces that Mr. George Supol, CPA, CA has resigned his position
as Chief Financial Officer (CFO) of Viking Gold effective
June 30 2014. The Company wishes to
thanks Mr. Supol for his many years of service. The Company's Board
of Directors has appointed Mr. Simon
Meredith, FCA-UK, as Interim CFO effective immediately.
About Viking Gold
Viking Gold Exploration Inc. is a gold-focused, Canadian mineral
exploration company. It is a reporting issuer in the Provinces of
Ontario, Newfoundland and Labrador, British
Columbia and Alberta.
Neither the 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 press release.
SOURCE Viking Gold Exploration Inc.