Golden Tag is looking to raise gross proceeds of up to $2 million from the placement of up to 8 million units priced at $0.25 per unit. The units consist of 1 share and one-half a warrant, with each full warrant exercisable at $0.40 for 24 months, subject to an acceleration clause.
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Video Transcript:
I’m Katriina Cotton for Investmentpitch Media
Golden Tag has announced a non-brokered private placement.
The company is looking to raise gross proceeds of up to $2 million from the placement of up to 8 million units priced at $0.25 per unit.
The units consist of 1 share and one-half a warrant, with each full warrant exercisable at $0.40 for 24 months, subject to an acceleration clause.
The shares are currently trading at $0.255.
Net proceeds will be used to advance of the company’s San Diego Project, in Mexico, and for working capital and general corporate purposes.
The company holds a 100% interest, subject to a 2% NSR, in the San Diego Project, in Durango, Mexico.
The San Diego property is among the largest undeveloped silver assets in Mexico and is located within the prolific Velardeña Mining District, which hosts several mines that have produced silver, zinc, lead and gold for more than 100 years.
After pausing briefly at year-end, the company recently restarted the current expanded 4,500 metre diamond drill exploration program that is a follow up to the 4,716 metres of diamond drilling that had previously been completed and reported in first half of 2021.
Results from the first diamond drillhole 21-60A, part of an exploration program targeting bulk-tonnage mineralization has been released with key highlights including 272 grams per tonne silver equivalent over 7.8 metres, within a broader interval of 120 grams per tonne silver equivalent over 35.7 metres within the Montanez Zone, and 100 grams per tonne silver equivalent over 322.9 metres, including a higher-grade interval of 142 grams per tonne over 91.6 metres within the Fernandez Zone, which extends the Endoskarn portion of Fernandez 50 metres to the southwest.
Greg McKenzie, President and CEO, stated: "We are quite pleased with the results from hole 21-60A, which confirms and strengthens our understanding of the Fernandez Zone. The intersection of 322.9 metres of continuous mineralization demonstrates the quality and scale of the deposit. We are delighted to discover the higher-grade mineralization from within the Endoskarn Zone extends 50 m to the southwest, filling in a 100-metre-wide embayment within the resource model. Just as notable, on the way to the target area we drilled through the Montanez Zone and obtained another high-grade intercept of 272 g/t Ag.Eq. over 7.8 m, exceeding grades contained in the resource model. Follow-up drilling is being performed on both zones.”
For more information, please visit the company’s website at www.GoldenTag.ca, contact Greg McKenzie, President and CEO, 416-504-2024 or by email at greg.mckenzie@GoldenTag.ca.
I’m Katriina Cotton for Investmentpitch Media
