Record Resources Clarifies Use of Proceeds from Financing
December 12, 2024 – Record Resources Inc. (TSX-V: REC) wishes to clarify the previously announced use of proceeds from its financing referenced in the company’s November 21, 2024 news release.
The company intends to use a portion of the funds raised from the financing for its Amikougami and Otto gold exploration properties in the Kirkland Lake, Ontario region.
The preliminary projected budget includes the following:
Preparation of road access to properties includes: a) Amikougami Property: $ 8,000.00; b) Otto Property: $2,000.00. Estimated minimum cost: $1,500.00
Develop a satellite or drone LIDAR derived DEM and photogrammetric base map for both properties having horizontal accuracy ± 5m and vertical accuracy of ± 1m: $19,000.00.
Compile, organize, digitized and reprocess historical aeromagnetic, gravity and radiometric data available from government files and company reports working in the region and integrating them with compiled geological map and structural data to more clearly define structural and tectonic controls/spatial associations of mineralization in areas adjacent to the properties and extending into the properties. Estimated minimal contractual cost: $17,000.00
Total Budget Requirement to Initiate the Kirkland Lake Exploration Project by Record Resources is $ 55,000.00
Phase B Field Activities:
The company will conduct Field Verification of available geological and geophysical data on the Amikougami Property. The first objective is to expose and map mineralized showings in historical trenches, shafts and identified shears and faults: Total budget: $15,300.00
The company will then undertake a verification diamond-drill campaign to establish nature of mineralization on the property: Total budget: $104,700.00
As previously reported in the company’s November 21 2024 news release, Record Resources is undertaking a non-brokered private placement of up to 11,000,000 units (the “Units”) at a price of $0.03 per Unit for gross proceeds of up to $330,000 (the “Offering”). The Offering has been structured to take advantage of the listed issuer financing exemption (LIFE) whereby securities of the Company issued pursuant to the Offering will be freely tradeable equity securities not subject to any hold period (see below).
Each Unit consists of one common share and one half-share purchase warrant of the company. Each whole warrant is exercisable at a price of $0.05 per share for a period of 36 months following the closing of the Offering. The Company intends to use the net proceeds from the Offering for exploration and evaluation of the Company’s properties, including the newly acquired Beauchamp Property, and for general working capital.
Subject to compliance with applicable regulatory requirements and in accordance with National Instrument 45-106 – Prospectus Exemptions (“NI 45-106”), the Offering is being made to purchasers resident in each of the Provinces of Canada pursuant to the listed issuer financing exemption under Part 5A of NI 45-106 (the “Exemption”). The securities offered under the Exemption will not be subject to a hold period in accordance with applicable Canadian securities laws. There is an offering document (the “Offering Document”) related to the Offering that can be accessed under the Company’s profile at www.sedarplus.ca and on the Company’s website at: www.recordgoldcorp.com. Prospective investors should read this Offering Document before making an investment decision.
Completion of the Offering is subject to certain conditions including the receipt of all necessary approvals, including the approval of the Canadian Securities Exchange and the TSX Venture Exchange, regulatory and board.
Qualified Person:
Edward Procyshyn, P.Geo, a qualified person in accordance with National Instrument 43-101, has reviewed and approved the technical information contained in this news release.