Dear Investors,
This morning�s release (below) marks a significant day in our Company�s development. We have finally derisked the financing element of our Cerro Cascaron story and are now clear to get drilling.
I would like to thank the brokers and shareholders who have invested in us during this very difficult time for Gold and Silver Companies. They agreed with me that Discovery drilling success generates tremendous investment returns in spite of any downturn in a commodity�s price. And, we know the world�s large Gold producers all need more Gold discoveries to grow their portfolios to keep their investors happy. We are in a very good position today.
We met with Evrim yesterday morning and expect the final drill budget approved no later than August 23. I remind you that this Evrim management team are the operators and are very experienced in Mexico. They have already had drill successes and are the consummate professionals we all want managing our exploration dollars. I thank them for their patience and support, too..
We have repriced our Warrants to 8 cents to give our 2016 Private Placement shareholders a more attractive exercise price and we extended the expiry date to September 21 to coincide with the time we expect to start drilling. There is over $2,000,000 dollars available to the company in the exercising of these warrants. That money will allow us to expand our exploration focus to new prospective areas on our district sized property and to give us the option to keep drilling our priority targets beyond our initial drill budget this fall. I will be in touch with the 2106 Private Placement brokers and shareholders regarding timing and instructions to exercise the warrants.
As always, you can reach me at info@harvestgoldcorp.com
Best Regards,
Rick
Rick Mark
President and CEO
Harvest Gold
Harvest Gold Closes Financing; Commissions Cerro Cascaron Drill Program; Applies to Amend Warrants; Sets Options
Vancouver, British Columbia / August 9, 2018 � Harvest Gold Corporation (TSX.V: HVG) (the �Company�) is pleased to announce that, further to its news releases of June 8, 2018, June 22, 2018 and August 2, 2018, it has closed a fourth and final tranche of its non-brokered private placement (the �Private Placement�) issuing an additional 4,000,000 units (�Units�) at a price of $0.05 per Unit, raising additional gross proceeds of CDN$200,000 for a total of CDN$857,100 gross proceeds raised (net proceeds $836,000). Each Unit consists of one common share and one transferable common share purchase warrant exercisable at $0.10 per share for a period of two years. The securities issued in this tranche have a hold period expiring December 10, 2018.
The Company paid finder�s fees of 8% cash and 8% warrants to Canaccord Genuity Corp. on certain funds. The net proceeds will be used for upcoming Joint Venture exploration related expenditures at Cerro Cascaron in Mexico, marketing and administrative expenses.
CERRO CASCARON DRILL PROGRAM COMMISSIONED
Harvest has delivered a cheque for $700,000 to Evrim Resources Corp (TSX.V: EVM) to commission the Cerro Cascaron drill program of up to 3000 metres. The final details and costs of the drill budget will be completed before August 23rd and the drill program is expected to begin about the third week in September. Management at Harvest and Evrim have agreed to wait out the August rainy season to forego helicopter costs which would have effectively reduced the number of meters drilled.
WARRANTS REPRICED
The Company also announces that it intends, subject to the acceptance of the TSX Venture Exchange, to amend the exercise price of 25,824,000 outstanding warrants (the �Warrants�) from $0.10 to $0.08 per share and extend the expiry date of 24,524,000 of the Warrants from September 9, 2018 to September 21, 2018. The expiry dates of the remaining Warrants, being October 7, 2018 as to 100,000 Warrants and October 18, 2018 as to 1,200,000 Warrants, will remain the same.
STOCK OPTIONS SET
The Company has granted 1,800,000 options to certain directors and consultants of the Company. The options are exercisable at $0.075 per share and have a term of 5 years.
INSIDER PARTCIPATION
Insiders of Harvest Gold subscribed for 1,500,000 Units, with Richard J. Mark, President, CEO and a director of the Company, subscribing for 600,000 Units; and Joel Matheson, a director of the Company, subscribing for 900,000 Units in the third tranche of the financing announced August 2, 2018. As a result, the Private Placement is a related party transaction (as defined under Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (�MI 61-101�)). The Company relied upon the �Issuer Not Listed on Specified Markets� and �Fair Market Value Not More Than $2,500,000� exemptions from the formal valuation and minority shareholder approval requirements, respectively, under MI 61-101.
About Harvest Gold Corporation
Harvest Gold is a mineral exploration company presently advancing its Cerro Cascaron high grade gold/silver project in Chihuahua State, Mexico, where an initial 3,000 m drill program is planned for 2018. Harvest Gold�s Board of Directors and management team are experienced in successful exploration and have collective geological and financing experience exceeding 200 years.
ON BEHALF OF THE BOARD OF DIRECTORS:
Rick Mark,
President and CEO
For more information please contact:
Rick Mark or Jan Urata
@ 604.682.2928 or info@harvestgoldcorp.com
Neither 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.
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