Vancouver, BC / TheNewswire / November 10, 2016 -  Intigold Mines Ltd. (IGD – TSX-V) announces that subject to regulatory approval, the Company has closed $150,000 of the non-brokered private placement (the “Financing”) as announced in the Company’s news releases of September 22, 2016 and October 5, 2016.

 

The Company will issue $150,000 in total principal of unsecured transferable convertible debentures (the “Convertible Debentures”).  The Convertible Debentures will mature two years from the date of issuance and bear interest at a rate of 12% per annum paid annually in arrears.

 

For a period of two years from the date the Convertible Debenture is issued, the holder will have the right, at its option, to convert all or any part of:

1. (a)the principal amount into units of the Company (the “Units”) at a price of $0.06 per Unit if converted in the first year, and at a price of $0.10 per Unit if converted in the second year (the “Principal Amount Conversion Price”).   

Each Unit will be comprised of one common share (a “Unit Share”) and one transferable common share purchase warrant of the Company (a “Warrant”).  Each Warrant will entitle the holder thereof to purchase one additional Share (a “Warrant Share”) for a period of two years from the Closing Date, which may occur in tranches, at an exercise price of $0.15 per Warrant Share, subject to adjustment in certain events;

1. (b)the interest that has accrued on the principal amount into Units at a price per Unit which equals the ‘Market Price’ (as that term is set out in the policies of the TSX Venture Exchange), but no less than $0.15, at the time the accrued interest becomes payable (the “Interest Conversion Price”), subject to prior written approval of the Exchange at the time of conversion. 

 

In addition, a forced conversion provision will provide that if the Market Price of the Issuer’s shares trade above $0.25 for ten consecutive days, then the Issuer may force the holder of the Convertible Debentures to convert its principle into Units at a price of $0.25 per Unit; and/or its accrued interest into Units at a price that is the greater of $0.25 and the Market Price (as that term is set out in the policies of the TSX Venture Exchange), subject to prior written approval of the Exchange at the time of conversion.

 

In accordance with securities legislation currently in effect, the securities issued will be subject to a “hold period” of four months plus one day from the date of closing,

For information on Intigold and its projects, please visit us at www.intigold.com or call 604-669-4677 or toll free at 1-888-895-5522.

INTIGOLD MINES LTD.

(signed “Lori McClenahan”)

Lori McClenahan,

President

Neither the 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.