The Vancouver-based company issued a total of 7.7 million shares on a flow-through basis at C$0.67 per share.
Sprott Capital Partners LP led a syndicate of underwriters, along with Velocity Trade Capital Ltd and Macquarie Capital Markets Canada Ltd. The underwriters received an aggregate cash commission of 6% of the gross proceeds of the offering.
The flow-through shares have a hold period of four months and one day from closing and expire on July 30, 2019.
Flow-through shares are a unique financing vehicle for junior resource companies in Canada, allowing investors to receive tax incentives.
Pure Gold is advancing the Madsen Gold Project in Red Lake, Ontario and it wants to become Canada's next iconic gold company.
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