| ||November 13, 2008|
Hawthorne Gold Closes $2.36 Million Brokered Private Placement
| ||For Immediate Release November 13, 2008|
HAWTHORNE GOLD CLOSES $2.36 MILLION BROKERED PRIVATE PLACEMENT
THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
Hawthorne Gold Corp. ("Hawthorne" or the "Company") (TSX-V: HGC) announces it has closed its $2,357,500 brokered private placement (the "Offering"). The Offering consisted of 11,787,500 flow through common shares (the "FT Shares") priced at $0.20 per FT Share. J.F. Mackie & Company Ltd. (the "Agent") acted as the agent for the Offering. The FT Shares were made available by way of private placement exemptions in the provinces of British Columbia, Alberta, Saskatchewan and Ontario. Insiders of the Company participated in the Offering and purchased 50,000 FT Shares.
Hawthorne paid the Agent a cash commission equal to 7% of the gross proceeds of the FT Shares sold or $165,025, and issued to the Agent 825,125 broker warrants (the "Broker Warrants") to acquire that number of common shares of the Company (the "Shares") which is equal to 7% of the number of FT Shares sold under the Offering. Each Broker Warrant is exercisable at $0.30 per Share for a period of 12 months after closing. The Company also reimbursed the Agent for reasonable fees and expenses incurred in connection with the Offering.
Proceeds from the Offering will be used to fund the Company's 2009 field work on its projects in British Columbia. All securities issued in connection with the Offering are subject to a statutory hold period of four months plus one day from the date of completion of the Offering in accordance with applicable securities legislation.
About Hawthorne Gold Corp.
Hawthorne Gold Corp. is a Canadian-based gold exploration and development company with key properties located in British Columbia, Canada. Hawthorne is led by well-respected mining leaders Richard Barclay and Michael Beley. Hawthorne's goal is to become a junior gold producer by working towards production at Table Mountain in 2009 and continued resource development at the nearby Taurus deposit, as well as the Frasergold deposit in the Cariboo region of south central British Columbia.
For more information on Hawthorne, contact Todd Hanas toll free at 1-866-869-8072 or the Company at (604) 629-1505 or toll free at 1-888-629-1505, or you can visit Hawthorne's website at www.hawthornegold.com.
ON BEHALF OF HAWTHORNE GOLD CORP.
"Richard J. Barclay"
President & CEO
Certain information regarding the Company including management's assessment of future plans and operations, may constitute forward-looking statements under applicable securities laws and necessarily involve risks associated with mining exploration and development, volatility of prices, currency fluctuations, imprecision of resource estimates, environmental and permitting risks, access to labour and services, competition from other companies and ability to access sufficient capital. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
You can view the Next News Releases item: Thu Nov 20, 2008, Hawthorne Appoints Michael Petrina, P. Eng as VP Mining
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