Evergold Announces Closing of $1,242,000 Private Placement to Support First-Ever Drilling of High Potential DEM Porphyry Copper-Gold-Silver Prospect, BC

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TORONTO, Sept. 29, 2023 (GLOBE NEWSWIRE) -- Evergold Corp. (TSX-V: EVER, WKN: A2PTHZ) (“Evergold” or the “Company”) is pleased to announce that it has closed its previously announced (news, September 7, 2023) non-brokered private placement financing for aggregate gross proceeds of $1,242,200 through the issuance of 12,078,334 flow-through units (“FT Units”) at a price of $0.06 per FT Unit and 9,409,091 hard-dollar units of the Company (“HD Units”) at a price of $0.055 per HD Unit (the “Offering”). It is expected that the majority of the gross proceeds from the sale of the FT Units will be used to support first-ever drilling of the newly optioned DEM property in central B.C. (news, August 2, 2023), which hosts a large-scale copper-gold-silver porphyry target defined by multiple supporting data sets. Further details on the DEM prospect may be found on the Company’s website at www.evergoldcorp.ca/projects/dem-property/ and in a NI 43-101 technical report entitled “Technical Report on the DEM Property” dated August 30, 2023, posted thereon and on the Company’s issuer profile at SEDAR+.

Each FT Unit is comprised of one (1) common share of the Company qualifying as a “flow-through share” as defined in subsection 66(15) of the Income Tax Act (Canada) (a “FT Share”), and one (1) common share purchase warrant (each whole warrant, a “Warrant”). Each Warrant entitles the holder thereof to acquire one additional common share of the Company (a “Warrant Share”) at an exercise price of $0.08 per Warrant Share for a period of twenty-four (24) months following the closing of the Offering. Each HD Unit is comprised of one (1) common share of the Company (a “Common Share”), and one (1) Warrant.

The gross proceeds from the issuance of the FT Units will be used for “Canadian exploration expenses” on the Company’s mineral properties and will qualify either as "flow-through critical mineral mining expenditures" or "flow-through mining expenditures" (the "Qualifying Expenditures"), each as defined in subsection 127(9) of the Income Tax Act (Canada). The Company intends to renounce the Qualifying Expenditures to subscribers of FT Units for the fiscal year ended December 31, 2023 and to incur the Qualifying Expenditures on or before December 31, 2024. The net proceeds from the issuance of HD Units will be used for both exploration and general working capital purposes.