GoldQuest Closes Second Tranche of Private Placement for Gross Proceeds of Approximately C$8.7 Million

Core Viewpoint - GoldQuest Mining Corp. has successfully closed the second tranche of its non-brokered private placement, raising approximately C$8.7 million, contributing to a total of C$40 million raised through the entire private placement process [1][2][3]. Group 1: Private Placement Details - The second tranche involved the issuance of 7,172,813 units at a price of C$1.21 per unit, each unit consisting of one common share and one-half of a common share purchase warrant [2]. - The total gross proceeds from the entire private placement, including the first tranche, amount to approximately C$40 million, with 31,966,201 units issued [3]. - A cash finder's fee of C$305,579.45 was paid to Paradigm Capital Inc. in connection with the second tranche [3]. Group 2: Future Plans and Use of Proceeds - The company anticipates closing the third and final tranche of the private placement, expected to raise up to C$3,320,896 [4]. - Proceeds from the private placement will be utilized for early development activities at the Romero project, expansion of greenfield exploration drilling, and general corporate purposes [4]. Group 3: Insider Participation - Insiders of the company acquired a total of 150,000 units for C$181,500 in the second tranche, which is classified as a related party transaction [5]. - The company is relying on exemptions from formal valuation and minority shareholder approval requirements as the insider participation does not exceed 25% of the company's market capitalization [6]. Group 4: Company Overview - GoldQuest Mining Corp. is a Canadian exploration and development company focused on advancing its gold and copper assets in the Dominican Republic, with a management team experienced in operating mines in the region [7].