South Atlantic Gold Plans C$4 Million Financing and Debt-for-Equity Swap

An announcement from South Atlantic Gold ( (TSE:SAO) ) is now available.

South Atlantic Gold Inc. has announced a non-brokered private placement of up to 80,000,000 common shares at C$0.05 per share to raise as much as C$4 million, with proceeds earmarked primarily to advance its Pedra Branca Project in Brazil and for general corporate purposes. The financing, which may include finder fees and insider participation under MI 61-101 exemptions, remains subject to TSX Venture Exchange approval and carries a standard four-month-plus-one-day hold period on new securities.

In tandem with the financing, the company plans to settle C$500,000 of related-party debt through the issuance of 10,000,000 shares at a deemed price of C$0.05, a move that management says will preserve cash for working capital. The debt settlement, also subject to exchange approval and completed under MI 61-101 exemptions, is expected to strengthen South Atlantic’s balance sheet and support ongoing project development without further immediate cash outlay.

More about South Atlantic Gold

South Atlantic Gold Inc. is a Vancouver-based mineral exploration company focused on acquiring and advancing gold and other mineral properties in the Americas. Its flagship asset is the Pedra Branca Project in Brazil, where the company is directing capital and exploration efforts to unlock resource potential in a competitive junior mining sector.

Average Trading Volume: 178,541

Technical Sentiment Signal: Buy

Current Market Cap: C$7.68M

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