NuLegacy Gold (NUG.V): Announces C$12.5 Million Private Placement

HH: I was surprised to see NUG raising C$12.5 M at this stage. I guess some are quite bullish and it rhymes with Cope’s and Quinton’s bullish comments. Interesting…

VANCOUVER – NuLegacy Gold Corporation announces a non-brokered private placement of up to 100,000,000 units (the “Units”) at a price of C$0.125 per Unit to raise gross proceeds to the Company of C$12.5 million (the “Offering”).

Each Unit will consist of one common share of the Company (a “Common Share”) and one transferable Common Share purchase warrant (a “Warrant”). Each Warrant will entitle the holder to acquire one Common Share of the Company at an exercise price of C$0.20 for a period of 36 months following closing of the Offering.

NuLegacy’s CEO Albert Matter comments that “Our recent winter 2020 drill program was highly successful; and subsequent analysis and geological remodeling strongly support our analysis that the Rift Anticline target bears significant structural and stratigraphic similarities and connectors to Barrick Gold’s Goldrush Carlin-style gold systems approximately 8 kilometres to the northwest.^I We are utilizing the improved gold market conditions to strengthen our treasury. This will enable us to accelerate and expand our Spring/Summer 2021 drilling and exploration program.”

The net proceeds of the Offering will be used to carry out an expanded exploration program on the Rift Anticline beyond the 12 core holes currently planned for the Spring-Summer 2021 drilling program, as well as for general corporate and working capital purposes.

The Offering is subject to, among other things, acceptance of the TSX Venture Exchange (the “TSXV”) with an initial closing scheduled for on or about January 18, 2021. All securities issued pursuant to the Offering will be subject to a four month hold period from the date of closing. The Company may pay finder’s fees in cash, shares or warrants or any combination thereof to certain finders and/or advisors in connection with the sale of Units in accordance with the policies of the TSXV.

On trend: NuLegacy Gold is focused on confirming high-grade Carlin-style gold deposits within the ~ 6 sq. km Rift Anticline target in the northwest corner of its flagship 108 sq. km (42 sq. mile) district scale Red Hill Property in the Cortez gold trend of Nevada. The Rift Anticline target is located on trend and adjacent^I to the three, multi-million ounce Carlin-type gold deposits (the Pipeline, Cortez Hills and Goldrush deposits) which are ranked amongst the world’s thirty largest, lowest cost and politically safest gold mines and are three of Nevada Gold Mines’ most profitable mines. ^II