TORONTO, April 26, 2005 (PRIMEZONE) -- Yukon Gold Corporation, Inc. ("Yukon Gold"), (OTCBB:YGDC) announced that it has revised the terms of the $7.2 million best efforts financing announced on April 13, 2005 from a Unit offering to a Special Warrant offering and will file a full prospectus in Ontario.
The Company's agreement with the placement agent has been amended to reflect the change to 5 million Special Warrants and 2 million Flow-Through Special Warrants. Each Special Warrant purchased entitles the holder to acquire one common share and one-half of one whole common share purchase warrant, at no additional cost. The Special Warrants will be automatically exercised on the earlier of, receipt for the final prospectus or 181 days following the closing date. If the final prospectus and Canadian listing are not obtained within 4 months of the closing date, the Company will be required to issue additional securities equal to 10% of those subscribed for by the investors. This financing is projected to close on or about May 30, 2005. The units are being offered outside the United States and will not be available to U.S. persons. Union Securities Ltd. has agreed to act on behalf of Yukon Gold as sponsor for the Canadian listing.
The net proceeds from the financing will be used by Yukon Gold to accelerate development and exploration plans on its massive sulphide resource and gold/silver property in the Yukon as well as fund potential property acquisitions.
The securities to be offered by Yukon Gold have not been registered under the Securities Act of 1933 in the United States and may not be offered or sold in the United States without such registration or an applicable exemption from registration.
About Yukon Gold
Yukon Gold Corporation, Inc. is an active and progressive public junior exploration and development company trading on the NASDAQ OTCBB under the symbol "YGDC". The Company's main focus is its newly acquired VMS deposit (Marg Property) and its Mount Hinton gold and silver exploration project in the Central Yukon Territory of Canada. These properties lie within the Tombstone Gold Belt, world renowned for the discovery of major gold and base metal deposits. Within immediate proximity to the Company's Projects are a number of idle, former producing mines and drill indicated resources which Yukon Gold plans to target for acquisition. Currently, there are approximately 10 million of the Company's common shares outstanding.
FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. Except for statements of historical fact relating to the company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other ecological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements