KAPUSKASING GOLD CORP. ("KAP")
BULLETIN TYPE: Property-Asset or Share Purchase Agreement, Private Placement-Non-Brokered
BULLETIN DATE: May 29, 2014
TSX Venture Tier 2 Company
TSX Venture Exchange has accepted for filing, two property acquisitions as follows:
Pursuant to a Mineral Property Acquisition Agreement dated February 27, 2014 between the Company and Mike Tremblay, Jacques Robert, and Randall Salo (the "Vendors"); the Company will acquire a 100% interest in the Borden North Property located in Ontario from the Vendors for by issuing 600,000 common shares at a deemed price of $0.05 per share to the Vendors.
Pursuant to a Mineral Property Acquisition Agreement dated February 25, 2014 between the Company and Mike Tremblay, Jon Armes, Robert Duess, Darin Wagner, and Garry Clark (the "Vendors"); the Company will acquire a 100% interest in the Rollo Property located in Ontario from the Vendors for by issuing 1,000,000 common shares at a deemed price of $0.05 per share to the Vendors.
For each property above, the Vendors will jointly retain a 2% NSR but the Company can acquire 50% of the NSR for a purchase price of $1,000,000 for the Borden North Property and $1,665,000 for the Rollo Property payable pro rata to the Vendors. In addition, the Vendors will be entitled to bonus shares equalling $600,000 for the Borden North Property and $1,000,000 for the Rollo Property, in value at the time that the Company releases a 43-101 compliant technical report, measured and indicated resource of 2 million ounces of gold or more within claims of the Borden North and Rollo properties.
For further information, please refer to the Company's news releases dated February 28, 2014 and May 29, 2014.
Insider / Pro Group Participation:
Insider=Y /
Name ProGroup=P # of Shares
Garry Clark Y 200,000
CASH SHARES WORK EXPENDITURES
Borden North Property $0 600,000 $74,000
Rollo Property $0 1,000,000 $104,000
In addition, the TSX Venture Exchange has also accepted for filing documentation with respect to the first tranche of a Non-Brokered Private Placement announced May 7, 2014:
Number of Shares: 1,450,466 shares
Purchase Price: $0.15 per share
Warrants: 725,233 share purchase warrants to purchase 725,233 shares
Warrant Exercise Price: $0.20 for a two year period
Number of Placees: 8 placees
Insider / Pro Group Participation:
Insider=Y /
Name ProGroup=P # of Shares
Aggregate Pro Group Involvement P 100,000
[1 placee]
Finder's Fee: $6,825 payable to Raymond James Ltd., with 45,500 warrants exercisable at $0.15 for two years
Pursuant to Corporate Finance Policy 4.1, Section 1.11(d), the Company must issue a news release announcing the closing of the private placement and setting out the expiry dates of the hold period(s). The Company must also issue a news release if the private placement does not close promptly. Note that in certain circumstances the Exchange may later extend the expiry date of the warrants, if they are less than the maximum permitted term.
________________________________________
|
|
