Golden Cariboo Closes Out $2.0 Million Financing
FULL DISCLOSURE: The Deep Dive is long the equity of Golden Cariboo Resources
Golden Cariboo (CSE: GCC) has closed out its financing, raising gross proceeds of $2.0 million following the closing of the second tranche of the offering. The placement, which was originally announced in January, met its target of raising $2.0 million.
The financing saw a total of 20.0 million units of the company issued at a price of $0.10 per unit. Each unit contains one common share and one half of a common share purchase warrant. Warrants are valid for a period of five years from the date of issuance, and contain an exercise price that starts at $0.12, and increases by $0.02 every year until hitting $0.20 in year five.
Included in the financing is the purchase of 350,000 units by an insider of the company.
Proceeds from the financing are slated to be used for general working capital and property exploration. Golden Cariboo is currently focused on its Quesnelle Gold Quartz Mine project, which contains the Quesnelle Quartz gold-silver deposit. The deposit, originally discovered in 1865, has seen historical production of 2,048 tonnes that graded 3.14 g/t gold and 4.18 g/t silver.
The property, surrounded by Osisko Development on three sides, is 75 kilometres away from Osisko’s Cariboo Gold project. A phase two 2,500 to 5,000 metre drill program is slated to begin this spring on the project, along with trenching and detailed mapping.
Golden Cariboo Resources last traded at $0.22 on the CSE.
FULL DISCLOSURE: Canacom Group, the parent company of The Deep Dive is long the equity of Golden Cariboo Resources. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.
As the founder of The Deep Dive, Jay is focused on all aspects of the firm. This includes operations, as well as acting as the primary writer for The Deep Dive’s stock analysis. In addition to The Deep Dive, Jay performs freelance writing for a number of firms and has been published on Stockhouse.com and CannaInvestor Magazine among others.
