E2Gold Inc., a Canadian gold exploration company, has announced its intention to raise up to $1 million through an equity private placement. The funds will be utilized to support the company’s upcoming drilling plans for its Hawkins gold project in north Central Ontario.
The Hawkins gold project, spanning 80 kilometers, is a significant flagship property for E2Gold. Located approximately 140 kilometers east of the Hemlo Gold Mine and 75 kilometers north of the Magino and Island Gold Mines, the project holds great potential for gold exploration.
E2Gold’s CEO, Eric Owens, expressed enthusiasm about the project, stating that the company’s field crews in 2023 confirmed the presence of high-grade gold and base metals in surface occurrences. These findings were observed up to 200 meters north and 3.5 kilometers east along the trend with the existing McKinnon Zone Inferred Resource.
To explore this previously untested area, E2Gold plans to conduct a shallow-level drilling program. The company aims to further assess the potential of the Hawkins gold project and uncover new discoveries.
The private placement will consist of a combination of HD Units and FT Units. HD Units will be priced at C$0.025, while FT Units will be priced at C$0.030. Each HD Unit will include one common share of the company and one common share purchase warrant. The FT Units will comprise one “flow-through” common share and one common share purchase warrant. These warrants will allow shareholders to acquire additional common shares at specified prices for a period of 24 months from the date of issuance.
The offering is subject to approval from the TSX Venture Exchange, and up to 50% of the offering may be purchased by insiders. E2Gold is confident in the potential of its Hawkins gold project and aims to attract investors who share their vision.
In addition to the private placement, E2Gold has entered into a general security agreement to secure an existing promissory note held by certain insiders. The company has also negotiated an extension of property option payments to the underlying claim holder of the Hawkins optioned claims.
E2Gold’s commitment to increasing shareholder value through discoveries at Hawkins is evident. The company’s flagship property, anchored by the McKinnon Zone Inferred Resource, boasts an estimated 328,800 ounces of gold. E2Gold remains focused on unlocking the full potential of the Hawkins gold project and delivering positive results for its shareholders.
For more information about E2Gold Inc. and its plans for the Hawkins gold project, interested parties can visit the company’s booth (Booth 2130) at the upcoming Prospectors and Developers Conference in Toronto from March 3 to March 5.
Please note that this news release contains forward-looking statements, and readers are advised to exercise caution as certain risks and uncertainties may affect the company’s plans.
