Ethos Gold announces closing of private placements

Vancouver, BC – September 3, 2020, Ethos Gold Corp. (“Ethos” or the “Company”) (TSXV:ECC) (OTCQB: ETHOF) is pleased to announce that it has closed its previously announced non-brokered private placements (collectively the “Private Placements”) for gross proceeds to the company of $4,360,000.

The Private Placements consisted of the following:

  • a private placement of 10,000,000 units priced at $0.14 per unit for gross proceeds of $1,400,000.  Each unit is comprised of one common share, and one half of one common share purchase warrant.  Each whole warrant is exercisable into one common share of the Company at an exercise price of $0.20 until September 3, 2022.  The common share purchase warrants will be subject to acceleration at the Company’s discretion in the event its common shares trade on the TSX Venture Exchange on a volume weighted average price (“VWAP”) basis of C$0.40 or more for a period of ten consecutive trading days. Proceeds of this offering will be utilized on the Company’s Iron Point project in Nevada and for general working capital.
  • an Ontario flow through private placement of 2,000,000 flow through units priced at $0.16 per unit for gross proceeds of $320,000.  Each unit is comprised of one flow through share, and one half of one non-flow through common share purchase warrant.  Each whole warrant is exercisable into one common share of the Company at an exercise price of $0.22 until September 3, 2022.  The common share purchase warrants will be subject to acceleration at the Company’s discretion in the event its common shares trade on the TSX Venture Exchange on a volume weighted average price (“VWAP”) basis of C$0.40 or more for a period of ten consecutive trading days. Proceeds of this offering will be utilized on the Company’s Fuchsite Lake Gold Project in Ontario or on eligible flow through expenditures on other Ontario projects.
  • a British Columbia charity flow through private placement of 3,000,000 flow through units priced at $0.18 per unit for gross proceeds of $540,000.  Each unit is comprised of one flow through share, and one half of one non-flow through common share purchase warrant.  Each whole warrant will be exercisable into one common share of the Company at an exercise price of $0.24 until September 3, 2022.  The common share purchase warrants will be subject to acceleration at the Company’s discretion in the event its common shares trade on the TSX Venture Exchange on a volume weighted average price (“VWAP”) basis of C$0.40 or more for a period of ten consecutive trading days. Proceeds of this offering will be utilized on the Company’s Perk Rocky copper-gold porphyry project in British Columbia or on eligible flow through expenditures on other British Columbia projects.
  • a private placement of 10,000,002 units priced at $0.21 per unit for gross proceeds of $2,100,000.  Each unit is comprised of one common share, and one half of one common share purchase warrant.  Each whole warrant is exercisable into one common share of the Company at an exercise price of $0.28 until September 3, 2022.  The common share purchase warrants will be subject to acceleration at the Company’s discretion in the event its common shares trade on the TSX Venture Exchange on a volume weighted average price (“VWAP”) basis of C$0.55 or more for a period of ten consecutive trading days. Proceeds of this offering will be utilized on the Company’s Iron Point project in Nevada and for general working capital.

The Private Placements are subject to the final acceptance of the TSX Venture Exchange, and all securities issued or issuable under the Private Placements will be subject to a 4-month hold period expiring on January 4, 2021.  The Company paid aggregate cash Finders fees of $39,338.18 and issued 226,300 Finders Warrants in connection with the Private Placements. 116,925 Finder’s Warrants entitle the holders to acquire one common share of the Company at $0.20 per share and 109,375 Finder’s Warrant entitle the holders to acquire one common share of the Company at $0.28 per share until September 3, 2022.

Contact

For additional information please contact Tom Martin at E: tmartin@ethosgold.com P: 1-250-516-2455 or view the Company’s website, www.ethosgold.com .and the Company’s sedar profile at www.sedar.com.

Ethos Gold Corp.
Per: “Craig Roberts
Craig Roberts, P.Eng., President & CEO

Forward-Looking Statement Cautions:

This press release contains certain “forward-looking statements” within the meaning of Canadian securities legislation, including, but not limited to, statements regarding the Company’s plans with respect to the Company’s projects and the timing related thereto, the merits of the Company’s projects, the Company’s objectives, plans and strategies, the Private Placements, and other project opportunities. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are statements that are not historical facts; they are generally, but not always, identified by the words “expects,” “plans,” “anticipates,” “believes,” “intends,” “estimates,” “projects,” “aims,” “potential,” “goal,” “objective,”, “strategy”, “prospective,” and similar expressions, or that events or conditions “will,” “would,” “may,” “can,” “could” or “should” occur, or are those statements, which, by their nature, refer to future events. The Company cautions that Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date the statements are made and they involve a number of risks and uncertainties. Consequently, there can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Except to the extent required by applicable securities laws and the policies of the TSX Venture Exchange, the Company undertakes no obligation to update these forward-looking statements if management’s beliefs, estimates or opinions, or other factors, should change. Factors that could cause future results to differ materially from those anticipated in these forward-looking statements include the risk of accidents and other risks associated with mineral exploration operations, the risk that the Company will encounter unanticipated geological factors, or the possibility that the Company may not be able to secure permitting and other agency or governmental clearances, necessary to carry out the Company’s exploration plans, risks and uncertainties related to the COVID-19 pandemic, and the risk of political uncertainties and regulatory or legal changes in the jurisdictions where the Company carries on its business that might interfere with the Company’s business and prospects. The reader is urged to refer to the Company’s reports, publicly available through the Canadian Securities Administrators’ System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com for a more complete discussion of such risk factors and their potential effects.

Neither the 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.

THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES