Xali Gold closes Non-Brokered Private Placement

VANCOUVER, British Columbia, Dec. 02, 2021 (GLOBE NEWSWIRE) -- Xali Gold Corp. (TSXV:XGC) ("Xali Gold” or the “Company”) is pleased to announce that it has completed the second tranche of its previously announced non-brokered private placement (the “Private Placement”), as described in its news releases dated October 19, 2021 and November 13, 2021, pursuant to which it has issued 3,383,333 units (the “Units”) at a price of $0.06 per Unit for aggregate gross proceeds of $203,000.   The Company has raised total aggregate proceeds of $422,900 and issued a total of 7,048,333 Units from the closings of the first and second tranches of the Private Placement.

Each Unit consists of one common share in the capital of the Company (each, a “Share”) and one-half share purchase warrant (each whole warrant, a “Warrant”). Each Warrant entitles the holder to purchase one additional Share (each, a “Warrant Share”) at a price of $0.12 per Warrant Share for a period of two years from the closing date, subject to an acceleration provision.

All securities issued in connection to the Private Placement are subject to a statutory hold period expiring four months and one day from date of issuance.

The net proceeds of the Private Placement will be used to further our permitting and targeting for drilling programs on our gold-silver projects, working capital and general corporate purposes.

The Private Placement is subject to TSX Venture Exchange (“TSXV”) final approval.

About Xali Gold

Xali Gold has a growth strategy to acquire gold and silver projects with near surface exploration potential, near-term production potential and previous mining histories in Mexico and in Newfoundland, Canada. Xali Gold plans to advance our growing bank of gold and silver assets internally and/or with industry partners.

El Oro remains as our flagship asset, as it is a district scale gold project encompassing a well-known prolific high-grade gold-silver epithermal vein system in Mexico.   The project covers 20 veins with past production and more than 57 veins in total, from which approximately 6.4 million ounces of gold and 74 million ounces of silver were reported to have been produced from just two of these veins (Ref. Mexico Geological Service Bulletin No. 37, Mining of the El Oro and Tlapujahua Districts. 1920, T. Flores*). Modern understanding of such systems indicates that several of the El Oro district’s veins hold excellent discovery potential.