The Company declared on October 10, 2023, that it had arranged a concurrent non-brokered private placement financing of 2,040,000 common shares on a flow-through basis (the “FT Shares”) at a price per FT Share of $2.94 (collectively, the “Offering”) for gross proceeds of approximately $6 million. The non-brokered private placement financing of 2,381,000 common shares (the “Shares”) was done at a price per Share of $2.10. The gross proceeds of the financing were estimated by the company at $5 million.
The Company will issue 2,881,000 Shares at a price of $2.10 per Share under the expanded Offering, generating gross proceeds of around $6.05 million. It is anticipated that the Offering would generate a total gross proceeds of around $12.05 million.
The Fenn-Gib gold property in the Timmins area of Ontario will see more exploration, metallurgical research, and engineering studies funded by the Offering’s proceeds. Working capital will be the designated use for a portion of the net revenues from the sale of shares.
A four-month hold period will apply to shares issued under the offering. The Offering is anticipated to close on November 2, 2023, or thereabouts, subject to normal closing conditions, which may include approval by the TSX Venture Exchange.
There is no offer to sell common shares in the United States in this news release. Without registration or a valid exemption from the registration requirements of the US Securities Act of 1933, as amended (the “US Securities Act”) and any relevant U.S. state securities laws, the Shares may not be offered or sold in the United States. There won’t be a public offering of the Shares by Mayfair in the US.
In the Timmins area of Northern Ontario, Mayfair Gold is a Canadian mineral development company whose primary goal is to progress the fully owned Fenn-Gib gold property. The flagship asset of Mayfair, the Fenn-Gib gold deposit, is home to an updated NI 43-101 resource estimate that is set to take effect on April 6, 2023. It comprises an Inferred Resource of 5.72 million tonnes containing 0.16 million ounces at a grade of 0.85 g/t Au at a cut-off grade of 0.40 g/t Au, and an Indicated Resource of 113.69 million tonnes containing 3.38 million ounces at a grade of 0.93 g/t Au. The source of this information is Tim Maunula, P. Geo. of T. Maunula & Associates Consulting Inc., who is considered a qualified person as defined by NI 43-101).
The Fenn-Gib deposit is more than 1.5 km long and more than 500 m wide. At deep and along the strike to the east and west, the gold-mineralized zones are still accessible. Metallurgical testing have concluded that the Fenn-Gib deposit can yield strong gold recoveries of up to 94%.
They are connected to Mayfair’s present anticipations and perspectives about upcoming occurrences. The use of words or phrases like “will likely result,” “are expected to,” “expects,” “will continue,” “is anticipated,” “anticipates,” “believes,” “estimated,” “intends,” “plans,” “forecast,” “projection,” “strategy,” “objective,” and “outlook” are examples of statements that express or involve discussions about expectations, beliefs, plans, objectives, assumptions, or future events or performance. These statements are not historical facts.
assumptions and uncertainties that might result in a major difference between the stated results or outcomes and the actual results. There is no guarantee that these expectations will come to pass, thus it is important not to place undue reliance on the forward-looking statements in this press release. These claims are only valid as of the news publication date.
A number of assumptions and risks and uncertainties, many of which are outside of Mayfair’s control, are the basis for and subject to forward-looking statements. As a result, actual results and events may differ materially from those disclosed in or suggested by such forward-looking statements. The effect and spread of the COVID-19 pandemic, among other things, are examples of such risks and uncertainties. Except as may be required by law, Mayfair disclaims any duty to update or alter any forward-looking statements, whether as a result of new information, future events, or otherwise.
Every now and then, new variables appear, and Mayfair is unable to forecast them all, analyse their effects, or determine the extent to which any one factor—or a combination of factors—could lead to outcomes that significantly differ from those expressed in any forward-looking statement. This news release includes forward-looking statements, all of which are explicitly qualified in full by this warning.