/NOT FOR DISSEMINATION IN THE UNITED
STATES OR THROUGH UNITED
STATES NEWSWIRE SERVICES/
VANCOUVER, BC, Nov. 9, 2021 /CNW/ - KALO GOLD CORP. (TSXV:
KALO) ("Kalo," "Kalo Gold,"
or the "Company"), a discovery-driven company with
high-grade gold opportunities in Fiji, is pleased to announce a brokered
private placement of common shares of the Company (the
"Shares") led by Cormark Securities Inc., as sole agent (the
"Agent"), to raise gross proceeds of a minimum of approximately
$3 million ("the "Offering")
on a best efforts fully marketed basis. The Offering will be
priced at $0.21 per share.
The Agent shall have an option (the "Option"),
exercisable in whole or in part at the Agent's discretion and
without obligation, at any time prior to the closing of the
Offering, to increase the size of the Offering and sell an
additional 15.0% of the Shares sold pursuant to the Offering, at
the same price with the same terms and conditions.
Securities issued pursuant to the Offering will be subject to a
hold period of four months from the date of closing. The Offering
remains subject to the approval of the TSX Venture Exchange.
This news release does not constitute an offer to sell or a
solicitation of an offer to buy any of the securities. The
securities described herein have not been and will not be
registered under the United States Securities Act of 1933, as
amended, or the securities laws of any state and may not be offered
or sold within the United States
or to or for the benefit or account of U.S. persons, absent such
registration or an applicable exemption from such registration
requirements.
The Company intends to use the net proceeds of the Offering
towards the Phase 2 exploration program at the Vatu Aurum Gold
Project, specifically to drill test the three new significant
targets identified in the Qiriyaga Zone, expand the IP/geophysical
survey in Qiriyaga Zone and two other prospects and other ground
works; and for general working capital purposes.
Exploration Update
The Company is pleased to announce that it will commence Phase 2
exploration program within the Qiriyaga Zone on the Vatu Aurum Gold
Project in December/January 2022.
The Qiriyaga Zone is a 3.3 km x 1.7 km (previously 2.5km x
1.2km prior to the Company's Phase 1 exploration program) gold
mineralized area defined by soil geochemistry, trenching and
geophysical surveys consisting of induced polarization ("IP") and
ground magnetic surveys. The Qiriyaga Zone Qiriyaga Hill and
Vuinubu Ridge gold mineralized areas and three new high priority
targets recently identified by the geophysical surveys. The
result of the magnetic survey indicates a potential copper-gold
porphyry system underlying the previously defined, large IP
chargeability anomalies. For more information on the IP/geophysical
survey results, please see the Company's news releases dated
July 21, 2021 and October 20, 2021.
The drilling phase of the exploration program conducted earlier
this year by the Company focused on drilling Qiriyaga Hill to
confirm vertical and lateral continuity of gold mineralization. The
recent drill program continued to confirm wide near surface gold
mineralization including the following intercepts:
- KGD 01: 101m @ 0.94g/t gold from
0 101m including 2m @ 6.00g/t gold from 6m-8m; 2m @ 5.36g/t gold from 69m-71m;
- KGD 03: 24m @ 1.01g/t gold from
21m-45m, including 2m @
6.27g/t gold from 37m-39m; and
- KGD 04: 69m @ 0.96g/t gold from
21m-90m
including 2m @ 5.11g/t gold from
34m-38m
Lengths presented are down-hole length and not true
width.
The second phase of the exploration program at Vatu Aurum will
focus on the following:
- Drilling of the high-priority targets identified by
IP/geophysical survey, a precursor to more impactful drilling if
results are positive;
- Continue to confirm the lateral and vertical mineralization of
Qiriyaga Hill and Vuinubu Ridge;
- Continue to expand the footprint of Qiriyaga Zone with
additional IP/geophysical survey, soil geochemical sampling and
mapping; and
- Advance Mouta and Coqeloa prospects with IP/geophysical survey,
soil geochemistry, mapping and trenching and selected prospects to
develop a pipeline of drill-ready exploration targets
Kalo Gold owns and operates its
own drill rig, led by a team with extensive Fijian experience,
allowing for low-cost exploration, costing between $150 - $171 per
meter.
Health & Safety Update
Fiji has been under COVID-19
inter-island travel restrictions since mid-April 2021, and we are pleased to report that
the government of Fiji has
announced it will effective November 11,
2021, relax travel restrictions to Fiji and also to the northern island Vanua
Levu, where the Vatu Aurum project is located. This is subject to
certain travel conditions and the easing of restrictions, will have
a major positive impact as it enables recommencement of drilling
activities at Vatu Aurum. For more information, please visit
https://www.mcttt.gov.fj/home/traveltofiji/international-travel and
https://www.health.gov.fj/movement-outer-islands/.
There are currently no confirmed community cases of COVID-19 on
the northern Fijian island of Vanua Levu, where Kalo Gold exclusively operates. The Company has
implemented additional safety controls to ensure the health and
safety of all employees, contractors, and communities. These
measures are in line with the Fijian Ministry of Commerce, Trade,
Tourism and Transport Protocols for COVID Safe Business Operations.
Such measures include employee temperature checks, the
implementation of the CareFiji App, ongoing hygiene training,
social distancing, and frequent handwashing.
About Kalo Gold Corp.
Kalo Gold is a mineral
exploration company focused on the Vatu Aurum gold project on
Fiji's north island, Vanua Levu.
Kalo holds two mineral exploration licenses covering 36,700
hectares of land and on trend with many of the largest gold
deposits in the world in the Southwest Pacific Ring of Fire.
Qualified Person
The technical information in this news release was reviewed by
Fred Tejada, P.Geo, a director and
officer of Kalo Gold, a
qualified person as defined by National Instrument 43-101 (NI
43-101).
On behalf of Kalo Gold Corp.
Fred Tejada
Chief Executive Officer and Director
Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
Exchange) accepts responsibility for the adequacy or accuracy of
this press release.
Forward Looking Statements Disclaimer
Certain statements in this release are forward-looking
statements, which are statements that are not purely historical,
including any statements regarding beliefs, plans, expectations or
intentions regarding the future. Forward looking statements in this
news release include statements relating to the closing of the
Offering, the proposed size of the Offering, the proposed drilling
timeline and the proposed expansion of the exploration program.
Forward-looking statements are often identified by terms such as
"will", "may", "should", "anticipate", "expects" and similar
expressions. All statements, other than statements of historical
fact, included in this release, including statements regarding the
proposed drilling timeline and the proposed expansion of the
exploration program, are forward-looking statements that involve
risks and uncertainties. There can be no assurance that such
statements will prove to be accurate and actual results, and future
events could differ materially from those anticipated in such
statements. Important factors that could cause actual results to
differ materially from the Company's expectations
include quality and quantity of any mineral deposits
that may be located, the Company's inability to obtain any
necessary permits, consents or authorizations required for its
activities, the Company's inability to raise the necessary capital
to be fully able to implement its business strategies, and other
risks and uncertainties disclosed in the Company's filing statement
dated February 9, 2021 and latest
interim Management Discussion and Analysis filed with certain
securities commissions in Canada.
The reader is cautioned that assumptions used in the
preparation of any forward-looking statements herein may prove to
be incorrect. Events or circumstances may cause actual results to
differ materially from those predicted, as a result of numerous
known and unknown risks, uncertainties, and other factors, many of
which are beyond the control of the Company. The reader is
cautioned not to place undue reliance on any forward-looking
information. Such information, although considered reasonable by
management at the time of preparation, may prove to be incorrect,
and actual results may differ materially from those anticipated.
Forward-looking statements contained in this news release are
expressly qualified by this cautionary statement. The
forward-looking statements contained in this news release are made
as of the date of this news release and the Company will update or
revise publicly any of the included forward-looking statements as
expressly required by Canadian securities law.
SOURCE Kalo Gold Corp.
