West Red Lake Gold Mines Inc. (“West Red Lake Gold” or the “Company”) (CSE: RLG) (FWB: HYK) (OTC: HYLKF) announces that it has completed a non brokered private placement of common share units for aggregated gross proceeds of $1,300,000.
The Company issued 5,200,000 common share units (the “Common Share Units”) at a price of $0.25 per Common Share Unit for aggregated gross proceeds of $1,300,000. Each Common Share Unit consists of one common share in the capital of the Company and one common share purchase warrant (the “Warrant”). Each Warrant issued in connection with the financing entitles its holder to purchase one common share in the capital of the Company at an exercise price of $0.40 per share for a period of 18 months from the date of issuance.
Proceeds from the financing will be used for exploration on the Company’s gold exploration project located in Red Lake, Ontario and for general working capital purposes.
In connection with the financing, the Company paid finders’ fees to eligible persons in the form of $79,825 in cash and 143,000 warrants to purchase Common Share Units at $0.25 for 24 months.