Golden Dawn Receives Exploration Permit for Lexington Area
VANCOUVER, November 26, 2019 - Golden Dawn Minerals Inc., (TSXV:GOM)(OTC:GDMRF)(FRANKFURT:3G8B), ("Golden Dawn" or the "Company"), announces that it has received its multi-year exploration permit for the Lexington property in Greenwood, B.C after payment of the required reclamation bond.
The new five-year area-based exploration permit is for ground geophysics and surface drilling on the Lexington group of claims held by 1086359 BC Ltd., a subsidiary of Golden Dawn Minerals Inc. The Lexington group covers 2,020 ha. The permit will allow exploration along a 4 km trend of favorable host rocks that stretches northwest from the border with Washington State. This favorable corridor includes the current Lexington-Grenoble mine project as well as other historic mines and prospects, with several historic drill holes that intersected copper-gold mineralization like that exposed within the Lexington mine (See map).
Map showing Lexington mine area, past producing mines and Cu-Au drill intercepts.
The company is now permitted to conduct brownfields exploration drilling to expand the Lexington deposit and search for additional resources nearby within the mineralized corridor.
In the meantime, Golden Dawn's Lexington mine and Greenwood processing facility remain on care and maintenance.
The Company also announces that it has closed the first tranche of the equity portion of the non-brokered private placement previously announced on September 4, 2019, for gross proceeds of $332,000. Each Unit will consist of one common share and one transferable common share purchase warrant (a "Warrant"). Each Warrant will entitle the holder to purchase one additional Golden Dawn common share at an exercise price of $0.35 during the 18-month period following the date of distribution of the Units. The hold expiry date is February 11, 2020.
The Company paid a cash commission of $7,280.00 to Haywood Securities Inc. and $2,400 to Canaccord Genuity Corp. and issued 36,400 broker warrants to Haywood Securities Inc. and 12,000 broker warrants to Canaccord Genuity Corp. The broker warrants have the same terms as the private placement warrants.
The net proceeds of the Private Placement will be applied to fund exploration of existing Issuer properties, to pay down existing Issuer debts, for mill site improvements, and for general working capital purposes
Dr. Mathew Ball, P.Geo., President of Golden Dawn Minerals Inc. and a Qualified Person as defined by NI 43-101, approved the technical information contained in this News Release.
On behalf of the Board of Golden Dawn Minerals Inc.
Per: "Dr. Mathew Ball"
For further information, please contact:
Golden Dawn Minerals Inc. - Corporate Communications:
Forward-Looking Statement Cautions:
This news release contains certain "forward-looking statements" within the meaning of Canadian securities legislation, relating to, among other things, preliminary plans for a consolidation of the Company's Shares. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are statements that are not historical facts; they are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," "projects," "aims," "potential," "goal," "objective," "prospective," and similar expressions, or that events or conditions "will," "would," "may," "can," "could" or "should" occur, or are those statements, which, by their nature, refer to future events. The Company cautions that forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made and they involve a number of risks and uncertainties. Consequently, there can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Except to the extent required by applicable securities laws and the policies of the TSX Venture Exchange, the Company undertakes no obligation to update these forward-looking statements if management's beliefs, estimates or opinions, or other factors, should change. Factors that could cause future results to differ materially from those anticipated in these forward-looking statements include the possibility that the TSX Venture Exchange will not approve the proposed share consolidation, and that the Company may not be able to raise sufficient additional capital to continue its business. The reader is urged to refer to the Company's reports, publicly available through the Canadian Securities Administrators' System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com for a more complete discussion of such risk factors and their potential effects.
This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of securities of the Company in any jurisdiction in which such offer, solicitation or sale would be unlawful, including any of the securities in the United States of America. The Company's securities have not been and will not be registered under the United States Securities Act of 1933 (the "1933 Act") or any state securities laws and may not be offered or sold within the United States or to, or for account or benefit of, U.S. Persons (as defined in Regulation S under the 1933 Act) unless registered under the 1933 Act and applicable state securities laws, or an exemption from such registration requirements is available.
THIS PRESS RELEASE DOES NOT CONSTITUTE AN OFFER TO SELL, OR THE SOLICITATION OF AN OFFER TO BUY, NOR SHALL THERE BE ANY SALE OF SECURITIES OF THE COMPANY IN ANY JURISDICTION IN WHICH SUCH OFFER, SOLICITATION OR SALE WOULD BE UNLAWFUL PRIOR TO REGISTRATION OR QUALIFICATION UNDER THE SECURITIES LAWS OF ANY SUCH JURISDICTION.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.
SOURCE: Golden Dawn Minerals Inc.
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