Eric Sprott becomes new shareholder of VanGold
(Kitco News) - VanGold Mining (TSXV:VGLD) announced today it has closed its non-brokered private placement of units at a price of $0.30 per unit announced December 23, 2020 and expanded on January 19, 2021, January 25, 2021, and February 17, 2021.
The company has issued a total of 56,500,000 units for gross proceeds of $16,950,000 with each unit consisting of one common share of the company and one half (1/2) of a common share purchase warrant.
VanGold acknowledged the investment and backing of Endeavour Silver, VBS Exchange, and renowned precious metals investor Eric Sprott.
The company said that Eric Sprott, a well-known and influential leader in the resource investment community, has invested $2,000,000 in this private placement and now owns approximately 3.5% of VanGold.
The net proceeds of the private placement will be used to, among other things, complete the acquisition and refurbishment of the El Cubo mine and mill near Guanajuato, Mexico, carry out additional exploration and definition drilling at El Cubo and El Pinguico and fund general corporate and working capital expenditures.
VanGold Mining is an exploration and development company engaged in reactivating high-grade past producing silver and gold mines near the city of Guanajuato, Mexico. The company's El Pinguico project is a significant past producer of both silver and gold located just 7 kilometers south of the city.