TORONTO - July 19, 2024 (GLOBE NEWSWIRE) -- EnviroGold Global Limited (CSE: NVRO | OTCQB: ESGLF | FSE: YGK) (“EnviroGold,” or the “Company”), a technology company enabling the global mining industry to monetize valuable metals contained in mine waste and tailings in an environmentally friendly way, reduce environmental liabilities, and improve social and environmental outcomes, is pleased to announce that it has closed the third tranche of its previously announced non-brokered private placement (the “Financing”) and issued 10,734,680 units (the “Units”) at a price of $0.05 per Unit for aggregate gross proceeds of $536,734. Each Unit consists of one common share (each, a “Common Share”) and one full warrant (each, a “Warrant”) exercisable to acquire one Common Share at a price of $0.08 per Common Share for a term expiring on April 30, 2026.
Together with the first two tranches of the Financing, the Company has raised aggregate gross proceeds of $1,378,734 after increasing the size of the Financing to $2,000,000, due to continuing investor interest. Additional tranches of the Financing may be closed at the discretion of the Company, on or before August 29, 2024.
EnviroGold CEO David Cam commented, “We are pleased with the results of this round of funding to date as it positions the Company to demonstrate its patented NVRO Clean Leach Process at a commercial scale for multiple global mining companies. This is a necessary step before revenue generating contracts commence.
Concurrent with this Financing, the Company’s engagement with Sequoia Corporate Finance Pty. Ltd., to secure strategic partnerships and commercialisation funding is underway as the long-term value of having a viable and economic solution for mine tailings and environmental management is becoming more necessary and compelling”.
EnviroGold intends to use the proceeds from the Financing to accelerate the establishment of the NVRO Clean Leach Process demonstration facility, to advance revenue generating customer relationships, and for general operating expenses.
All securities issued in connection with the Financing will be subject to a statutory hold period of four months from the date of issuance pursuant to applicable securities laws of Canada. No finder’s fees were paid on this closing.
The Company is also pleased to announce the commissioning of the demonstration plant is progressing ahead of time and under budget, with tailings processing expected to commence in the coming weeks.
The Company has finalised the framework for its commercial license terms, that provides for a technology license fee payable by the Company’s customers, quarterly, for the life of the tailings reprocessing operations using the NVRO Clean Leach Process.
The Company has initiated a project in collaboration with a leading global advisory firm to outline the environmental advantages, liability reduction, and risk mitigation benefits of applying the NVRO Clean Leach Process to mine waste and tailings. An anticipated outcome of the project is that EnviroGold customers will be able to quantify the reduction in balance sheet liabilities, directors’ personal liabilities, and environmental liabilities associated with mine waste and tailings, as well as access higher ESG ratings and potentially a lower Weighted Average Cost of Capital. This will be in addition to the projected profits for clients generated from the recovery of valuable metals from tailings processed using the NVRO Clean Leach Process.
A deeper understanding of the environmental and risk mitigation benefits of the NVRO Clean Leach Process will allow the Company to reprofile its ESG value proposition to customers.
About EnviroGold Global
EnviroGold Global is a technology company enabling the global mining industry to monetise valuable metals from mine waste and tailings and reduce environmental liabilities. EnviroGold’s proprietary technology is at the leading edge of growing requirements for precious and critical metals and greater social demand for better environmental outcomes. The Company operates on a technology license fee model with low capex requirements and intends to establish itself as a leading global technology company focussed on shareholder value.
