Golden Arrow Announces Approval of Shares for Services at $1.456 per Share
Vancouver, BC / TheNewswire / January 23, 2015 / Golden Arrow Resources Corp. (TSX-V: GRG, FRA: GAC (WKN: A0B6XQ), "Golden Arrow" or the "Company") is pleased to announce that the Company has received TSX Venture Exchange approval to issue its common shares ("Shares") for services pursuant to a contract for diamond drilling (the "Drilling Contract") between the Company and an Argentinian drilling services company (the "Drilling Services"), and a heavy equipment services contract ("Heavy Equipment Contract") between the Company and an Argentinean heavy equipment services provider (the "Heavy Equipment Services") (together the "Services") on the Chinchillas Silver Project located in Argentina.
The Company will issue Shares for Drilling Services pursuant to the Drilling Contract to conduct up to a 6,400 meter diamond drilling program, for an aggregate cost of US$1,358,000 within a six month period. The parties have agreed to the payment for the Services by way of the issuance of an aggregate of up to 1,117,900 Shares, at a deemed price of US$1.214777 (CDN$1.456) per Share. This additional drilling program is in addition to the transaction previously announced in News Release dated March 10, 2014.
The Company will issue Shares for Heavy Equipment Services pursuant to the Heavy Equipment Contract to conduct services related to heavy machinery equipment, for an aggregate cost of US$120,000 within a six month period. The parties have agreed to the payment for the Services by way of the issuance of an aggregate of up to 98,783 Shares of the Company, at a deemed price of US$1.214777 per common share.
The Company also announces a further non-brokered private placement financing of 100,000 units at a price of $0.20 per unit for gross proceeds of $20,000. Each unit will consist of one common share and one transferable common share purchase warrant. Each warrant will entitle the holder thereof to purchase one additional common share in the capital of the Company at a price of $0.25 per share for two years from the date of issue. Golden Arrow can accelerate the warrant exercise if Golden Arrow's 15-day volume weighted average share price trades at $0.35 or higher. This financing is subject to regulatory approval. The proceeds of this financing will be used to advance exploration for the Company's flagship Chinchillas Silver Project and for general working capital.
All securities issued in connection with both of these transactions are subject to a four-month hold period under applicable Canadian securities laws.
About Golden Arrow:
Golden Arrow is a Vancouver-based explorer focused on identifying, acquiring and advancing precious and base metal projects in Argentina with the goal of achieving a world class discovery. The main focus is on advancing the flagship Chinchillas Silver Project located in Jujuy, Argentina. Golden Arrow is a member of Grosso Group, a management company specialized in resource exploration, and working in Argentina where it is highly regarded and trusted since 1993.
ON BEHALF OF THE BOARD
"Joseph Grosso"
_______________________________
Mr. Joseph Grosso, President & CEO
For further information please contact:
Corporate Communications
Tel: 1-604-687-1828
Toll-Free: 1-800-901-0058
Email: info@goldenarrowresources.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release may contain forward-looking statements. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Readers are encouraged to refer to the Company's public disclosure documents for a more detailed discussion of factors that may impact expected future results. The Company undertakes no obligation to publicly update or revise any forward-looking statements.
The securities being offered have not been, nor will they be registered under the United States Securities Act of 1933, as amended, or state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. federal and state registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.
-NOT FOR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION TO OR THROUGH US NEWSWIRE SERVICES-
Copyright (c) 2015 TheNewswire - All rights reserved.
