ESGold Corp. (CSE: ESAU) (OTCQB: ESAUF) announced the closing of a non-brokered private placement of 5,300,000 flow-through shares at $0.85 per share, generating gross proceeds of $4,505,000. The funds will be used to finance exploration activities at the company's Montauban Property in Quebec, a key step toward advancing the project toward production.
The proceeds will be allocated to Qualifying Expenditures under Canadian federal and provincial tax rules, with the expenditures to be incurred by December 31, 2026, and renounced effective no later than December 31, 2025. This structure provides tax benefits to investors while ensuring the company has the capital needed for its exploration programs.
Red Cloud Securities Inc. acted as a finder in connection with the placement, receiving a cash finder's fee of $315,350. All securities issued are subject to a statutory hold period of four months and one day, expiring on April 9, 2026.
The Montauban Gold-Silver Project, ESGold's flagship asset, is fully permitted and under construction, with production anticipated in 2026. The property is located in Quebec, a mining-friendly jurisdiction with established infrastructure. The company's clean mining model focuses on sustainable extraction and reprocessing of tailings, aiming to minimize environmental impact while maximizing resource recovery.
In addition to Montauban, ESGold is advancing a joint venture in Colombia, targeting one of South America's most prolific gold regions for tailings reprocessing and systematic exploration. This dual-track strategy combines near-term cash flow from Montauban with longer-term discovery potential in Colombia.
The completion of this private placement strengthens ESGold's financial position as it moves toward production. The company is fully funded for its pre-production phase, with the new capital allowing it to continue exploration and development activities without delay.
Investors can find more information about ESGold Corp. on its website at esgold.com, and the full press release is available at https://ibn.fm/pRKXo. For the latest updates on ESAUF, visit the company's newsroom at https://ibn.fm/ESAUF.
