Mr. Riley Trimble reports
ABEN GOLD CORP. CLOSES $1.3 MILLION PRIVATE PLACEMENT OF FLOW-THROUGH UNITS
Aben Gold Corp.
has closed a non-brokered private placement financing for total gross proceeds of $1,334,000.
The company has allotted and issued 6.67 million units at a price of 20 cents per unit. Each unit comprises one flow-through common share and one-half of one transferable warrant. Each warrant will entitle the holder to purchase one non-flow-through common share for a period of two years at a price of 30 cents per share, subject to accelerated expiry.
In the event that, after the statutory hold period has expired, the closing price of the company's common shares on any other stock exchange on which the company's common shares are then listed is at a price equal to or greater than 50 cents for a period of 10 consecutive trading days, the company will have the right to accelerate the expiry date of the warrants by issuing a press release or other form of notice permitted by the certificate representing the warrants, announcing that the warrants will expire at 5 p.m. Vancouver time on the date that is not less than 30 days from the date notice is given.
In relation to the private placement, the company has paid finders' fees of $50,750 and issued 253,750 non-transferable finder warrants to arm's-length parties. Each finder warrant will entitle the holder to purchase one non-flow-through common share for a period of two years at a price of 30 cents per share.
The company intends to use the proceeds from this private placement for exploration and coming drilling program at its Justin gold-tungsten project in Yukon. All securities issued are subject to a four-month-and-one-day hold period under applicable Canadian securities laws.
The company will use an amount equal to the gross proceeds from the sale of the flow-through shares to incur eligible Canadian exploration expenses that will qualify as flow-through mining expenditures, as such terms are defined in the Income Tax Act (Canada) in relation to the company's projects, on or before Dec. 31, 2027. All qualifying expenditures will be renounced in favour of the subscribers effective Dec. 31, 2026.
Certain related parties of the company participated in the private placement. The issuance of units to related parties is considered to be a related party transaction within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The company has relied on the exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 (and Policy 5.9) as the fair market value of the units issued to such persons does not exceed 25 per cent of the company's market capitalization.
About Aben Gold Corp.
Aben Gold is a Canadian gold exploration company with exploration projects in Yukon and British Columbia. The company's flagship, 7,400-hectare, 100-per-cent-owned Justin gold-tungsten project is located adjacent to Seabridge Gold's 3 Aces project in southeastern Yukon within the Tombstone gold-tungsten belt and broader Tintina gold province.
The company's goal is to increase shareholder value through new discoveries and developing exploration projects in geopolitically favourable jurisdictions.
The company has 28.3 million shares outstanding. The company has $3.6-million in the treasury.
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