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Private Placement and New Director |
Q-GOLD ANNOUNCES PRIVATE PLACEMENT FINANCING
AND CHANGES TO THE BOARD OF DIRECTORS
SEC 12g 3-2(b) Exemption # 82-4931
Fort Frances, Ontario, July 28, 2010
Q-Gold Resources Ltd. (TSX VENTURE: QGR) (http://www.qgoldresources.com) is pleased to announce that it intends to complete a non-brokered private placement for aggregate gross proceeds of up to $720,000 (the "Offering").
The Offering will consist of:
(1) 5,000,000 Flow-through Units (“Flow-Through Units”) for aggregate gross proceeds of
up to $400,000; and
(2) 4,000,000 Non-Flow-through Units of the Corporation (“Units”) for aggregate gross
proceeds of up to $320,000.
Each Flow-Through Unit will consist of one common share issued on a “flow-through” basis and one common share purchase warrant (the "Flow-Through Warrant") entitling the holder to acquire one additional common share issued on a “flow-through” basis at an exercise price of $0.10 for a period of 24 months from issuance.
Each Unit will consist of one common share and one common share purchase warrant (the "Warrant"), entitling the holder to acquire one additional common share at an exercise price of $0.10 for a period of 24 months from issuance.
All securities issued in connection with the Offering will be subject to a four month restriction from resale as stipulated under applicable securities legislation and the TSX Venture Exchange (the “Exchange”).
Closing of the Offering is subject to all regulatory approvals, including those of the Exchange.
Proceeds from the Offering will be used by Q-Gold for continued gold exploration in the Company’s historic (19th Century) gold camps at Mine Centre, Ontario and Crown King, Arizona and for general corporate purposes.
The Company also announced the resignation of Dr. Wayne Young from its Board of Directors and the election of Robert Gardner to the Board, effective immediately. Pursuant to the terms of the Company's Stock Option Plan, Mr. Gardner was granted 100,000 incentive stock options, exercisable for a period of five years from the date of the grant at a price of $0.12 per share.
About Q-Gold Resources Ltd.
Q-Gold is a Canadian-based mineral exploration company currently exploring for precious and base metals on its 26,000 acres of Ontario holdings in the historic Gold Camp at Mine Centre, including 5 historic gold mines. In addition, the Corporation holds options on historic gold and silver mines in the historic Arizona gold camp of Crown King, and copper prospects in eastern and western Arizona.
The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially form the Company’s expectations and projections. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
