NORTH COUNTRY GOLD ANNOUNCES $2 MILLION PRIVATE PLACEMENT FLOW-THROUGH FINANCING
June 7, 2010
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES
OR FOR DISSEMINATION IN THE UNITED STATES
June 7, 2010 Edmonton, Alberta – North Country Gold ("North Country" or the "Corporation") (TSX VENTURE:NCG) is pleased to announce that it has entered into an agreement with Canaccord Genuity Corp. (the "Agent") to sell, on a commercially reasonable efforts private placement basis, up to 6,250,000 common shares of the Corporation to be issued as "flow-through" shares (the "Flow-Through Shares") at a price of $0.32 per Flow-Through Share, for proceeds of $2,000,000 if fully subscribed (the "Offering").
The Agent will receive a cash commission on the sale of the Flow-Through Shares, representing 7% of the gross proceeds raised, and non-transferable share purchase warrants ("Broker Warrants") entitling the Agent to purchase common shares of the Corporation ("Common Shares") equal to 7% of the Flow-Through Shares sold pursuant to the Offering at a price of $0.32 within 24 months after closing of the Offering.
The Corporation intends to use the net proceeds of the Offering to conduct exploration activities on its Committee Bay Project located in Nunavut.
Closing of the Offering is anticipated to occur on or before June 29, 2010 and is subject to receipt of applicable regulatory approvals including approval of the TSX Venture Exchange. The Flow-Through Shares and Common Shares issued pursuant to the exercise of the Broker Warrants will be subject to a restricted period ending four months after closing of the Offering.
The securities have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "1933 Act"), or under any state securities laws, and may not be offered or sold, directly or indirectly, or delivered within the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the 1933 Act) absent registration or an applicable exemption from the registration requirements. This news release does not constitute an offer to sell or a solicitation to buy such securities in the United States.
About North Country Gold:
North Country Gold Corp. (TSX VENTURE:NCG) is 100% owner of the mineral rights to 557,323 acres (225,569 hectares) of land comprising 216 active mineral claims and 14 mineral leases on the gold-rich Committee Bay Greenstone Belt in Canada's Nunavut Territory. Management has identified numerous high-grade gold targets within five distinct mineral development centers on the Belt and is focusing on advancement of the Three Bluffs centre and its deposit, which is located approximately 300 kilometres northeast of the new Meadowbank Mine near Baker Lake.
Three Bluffs is a NI 43-101 compliant high-grade gold deposit, which currently hosts an indicated resource of 508,000 ounces (2,700,000 tones at 5.85 g/t Au) and an additional inferred resource of 244,000 ounces (1,270,000 tones at 5.98 g/t Au). The deposit is open to depth and there is significant potential to expand the current resource along strike. The 2010 summer drilling program will follow-up on results of the spring drilling program and continue to explore for additional mineralization proximal to the existing resource, testing for new mineralized zones along 5000m of western strike extent of the Three Bluffs iron formation trend where surface sampling has returned significant gold values.
North Country Gold
John Williamson, P.Geol
President and CEO
For more information on North Country Gold, please visit the Corporation’s website: www.northcountrygold.com or contact:
Brian Budd
Director of Corp. Development
Email: [email protected]
Tel: 604-646-4525
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 release.
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