Further to its previous news releases, Amarillo Gold Corp. (AGC.H) (“Amarillo”) announces that it has increased its private placement to 9,070,000 units at a price of $0.25 per unit, for total gross proceeds of $2,267,500, subject to TSX Venture Exchange acceptance. Each unit will consist of one common share of the Company and one-half of one share purchase warrant, each whole warrant entitling the holder to purchase an additional common share of the Company for a period of one year at a price of $0.40 per share.
Finders’ fees or commissions will be payable on the placement pursuant to TSX Venture Exchange policies.
Proceeds of the placement will be used to provide the Company with sufficient funds to meet Tier 2 listing requirements, including payment of its working capital deficiency ($644,542), the next phase work program on the Mara Rosa Property ($333,500), fees and commissions ($120,000 maximum), working capital for operations ($182,800) and unallocated working capital ($986,658).
The private placement is fully subscribed. The private placement will close after Exchange acceptance of the Company’s reverse takeover transaction and concurrently with the move of the Company to Tier 2 of the TSX Venture Exchange. It is expected this will happen forthwith.