AurCrest Announces Financing From Lac Seul First Nationadmin
AurCrest Gold Inc. is very pleased to announce that it has placed 2,702,704 units of the Company at a price of $0.185 per unit for gross proceeds of $500,000.24 (the “Offering”) with the Lac Seul First Nation (“LSFN”). Each unit (a “Unit”) consists of one (1) common share of the Company and one-half (1/2) share purchase warrant (each a “Warrant”). Each full Warrant entitles the holder to acquire an additional common share at the price of $0.30 per share until March 15, 2012. The securities are legended and restricted from trading until July 16, 2011.
As part of the transaction with LSFN, they have the right to nominate one director to the Board of Directors of AurCrest, subject to regulatory approval. The Company will be negotiating the terms of an Exploration Agreement with LSFN with respect to exploration by the Company on the traditional lands of LSFN.
Ian Brodie-Brown, President and CEO of AurCrest, commented, “The relationship that AurCrest Gold has established with the Lac Seul First Nation is unprecedented within the junior mining industry. We are very pleased to be working closely with the Lac Seul First Nation and look forward to exploring for Gold assets in their Traditional territory, known to be one of Canada’s great gold camps, namely Red Lake and East Red Lake. As recently as yesterday, March 15th, Gold Canyon announced an incredible width and grade on their Springpole Lake project (East Red Lake) of 100.5 metres of 7.23 grams/tonne gold. AurCrest has recently acquired the adjacent property through staking, and now holds over 20,000 prospective acres in the area.”
Chief Clifford Bull of the Lac Seul First Nation stated, “The Band Council of Lac Seul First Nation is pleased to have acquired these shares with AurCrest. It reflects the mutual respect that has developed between us and we look forward to building a strong relationship to realize the benefits and opportunities from the mineral exploration industry in our territory. This modern Exploration Company model is a reflection of our community’s interest to work with industry.”