Golden Cross upsizes private placement to C$3.75 million

Golden Cross Resources (TSXV: AUX) (OTCQB: ZCRMF) (FSE: ZML0) increased the size of its non-brokered private placement to C$3.75 million from a previously announced amount due to investor demand. The company said the offering has been fully subscribed.

The Vancouver-based mineral exploration company will issue 22,058,824 units at C$0.17 per unit. Each unit consists of one common share and one half of a common share purchase warrant. Each whole warrant allows the holder to purchase one additional share at C$0.30 for two years from the offering's closing date.

Golden Cross plans to use proceeds for exploration drilling and development of its Reedy Creek gold project in Victoria, Australia, and for general working capital and administrative purposes.

"The decision to increase the size of the Offering reflects the significant demand we received from quality investors and serves as a strong endorsement of our strategy and growth plans," said Matt Roma, the company's CEO, according to the press release.

The offering requires regulatory approvals, including from the TSX Venture Exchange. Securities issued will be subject to a four-month and one-day hold period under Canadian securities laws from the closing date.

Company management may participate in the offering, including subscriptions from related parties as defined in Multilateral Instrument 61-101. This participation is exempt from formal valuation and minority shareholder approval requirements under sections 5.5(c) and 5.7(1)(a) of MI 61-101.

The company may pay finder's fees to certain parties who assist in introducing subscribers to the offering. Golden Cross focuses on advancing the Reedy Creek gold project, located 10 kilometers from Southern Cross Gold's Sunday Creek discovery in Victoria, Australia.

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