TORONTO, Nov. 5, 2012 /CNW/ - Atlanta Gold Inc. (TSXV: ATG) (OTCQX: ATLDF)
announces that it intends to complete a non-brokered private placement of up
to 15,000,000 Units at a price of $0.05 per Unit for gross proceeds of up to
$750,000. Each Unit will consist of one common share and one warrant to
purchase a common share of the Company. Each whole warrant is exercisable for
a period of 24 months from closing of the offering and will entitle the holder
to purchase one additional common share at $0.10 for the initial 12 months
from closing and at $0.15 per share thereafter. The Company has the right to
accelerate the expiry date of the warrants if the closing price of the
Company's common shares on the TSX Venture Exchange ("TSXV") exceeds $0.20 for
20 consecutive days on which the Company's shares trade. Net proceeds from the
offering will be used to reduce indebtedness and for general working capital
Certain insiders of the Company may participate in the offering. The Company
will pay a finder's fee to registrants consisting of an 8% cash commission and
8% in compensation options, with each compensation option entitling the holder
to purchase one common share at a price of $0.10 per share for one year. All
securities issued under the offering will be subject to a four-month statutory
Completion of the offering is subject to TSXV approval.
About the Company
Atlanta Gold Inc. holds through its 100% owned subsidiary, Atlanta Gold
Corporation, leases, options or ownership interests in its Atlanta properties
which comprise approximately 2,159 acres (8.74 square kilometers) located 90
air kilometers east of Boise, in Elmore County, Idaho. A long history of
mining makes Atlanta very suitable for development of new mining projects.
The Company is focused on advancing its core asset, Atlanta, towards mine
development and production.
This news release contains forward-looking information and forward-looking
statements (collectively "forward-looking statements") within the meaning of
applicable securities laws with respect to the completion of the offering and
the use of proceeds therefrom. This statement is based upon the assumption
that the Company will receive TSXV approval for the issuance of the securities
and will successfully complete the placement within the time permitted.
Forward-looking statements involve known and unknown risks, uncertainties and
other factors that may cause actual results to differ materially from those
expressed or implied by the forward-looking statements and accordingly,
readers should not place undue reliance on those statements. Risks and
uncertainties that may cause actual results to vary include the Company's
limited financial resources, the potential imposition of additional or varied
sanctions against the Company's subsidiary by the Court in the U.S. Clean
Water Act proceedings, changes in general economic conditions or conditions in
the financial market, the inability to obtain the approval of the TSXV to the
financing on the terms provided, changes in resource prices and fluctuations
in currency exchange rates, as well as other risks and uncertainties which are
more fully described in the Company's annual and quarterly Management
Discussion and Analysis and in other Company filings made with securities
regulatory authorities, which are available at www.sedar.com. Readers are
cautioned that the foregoing lists of risks, uncertainties and assumptions are
not exhaustive. The forward-looking statements are made as of the date
hereof. The Company undertakes no obligation to update publicly or revise
any forward-looking statements contained herein whether as a result of new
information, future events or otherwise, except in accordance with applicable
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.
Atlanta Gold Inc.: Wm. Ernest Simmons President and CEO Telephone:
(208)-424-3343 Fax: 208-338-6513 Email:firstname.lastname@example.org
Atlanta Gold Inc. Bill Baird Vice President and CFO Telephone: (416) 777-0013
Fax: (416) 777-0014 E-mail:email@example.com
CHF Investor Relations Juliet Heading Senior Account Manager Telephone: (416)
868-1079 ext 239 Fax: (416) 868-6198 E-mail:firstname.lastname@example.org
SOURCE: Atlanta Gold Inc.
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CO: Atlanta Gold Inc.
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-0- Nov/05/2012 23:30 GMT
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