VANCOUVER, BRITISH COLUMBIA--(Marketwired - Sept. 30, 2016) - John E. Watson announces that he has acquired ownership and control of 510,000 units (the "Units") of NV Gold Corporation (TSX VENTURE:NVX) ("NVX") at C$0.20 per Unit at an aggregate cost of C$102,000 and that he was granted options (the "Options") to purchase 175,000 common shares of NVX.
Each Unit consists of one common share of NVX and one-half of one transferable common share purchase warrant (a "Warrant"). Each whole Warrant entitles the holder to purchase one additional common share of NVX (a "Warrant Share") at $0.40 until September 29, 2018. The 510,000 common shares forming part of the Units (the "Unit Shares") represent approximately 2.5% of the outstanding shares of NVX. The Unit Shares together with the 255,000 Warrant Shares, if issued, would represent 3.7% of the outstanding shares of NVX (assuming only the Warrants acquired by Mr. Watson were exercised).
Each Option is exercisable to acquire one common share of the Issuer at $0.35 per shares for a period of five years. The common shares issuable under the Options, if issued, would represent 0.8% of the outstanding shares of NVX. The stock options were granted to Mr. Watson by the Company's Board of Directors as part of the compensation of Mr. Watson for working as CEO of the Issuer.
Mr. Watson, the President and Chief Executive Officer of NVX, now owns 5,035,792 common shares of NVX, options to purchase 190,000 common shares of NVX and warrants to purchase 355,000 common shares of NVX. The common shares of NVX held by Mr. Watson represent approximately 24.4% of the outstanding shares of NVX and, if Mr. Watson exercised his options and warrants in full, he would hold approximately 26.3% of the outstanding shares of NVX (assuming only the options and warrants held by Mr. Watson were exercised). Mr. Watson held 4,525,792 common shares, representing 38.6% of the outstanding shares, and the options and warrants to purchase 115,000 common shares of NVX before these acquisitions and is not acting jointly or in concert with any person.
The Units were issued in a private placement transaction and are subject to a hold period expiring on January 30, 2017.
Mr. Watson acquired the Units for investment purposes. Mr. Watson was awarded the options as part of the compensation package he receives as CEO of the Issuer. Mr. Watson does not presently intend to make further investments in NVX. However, Mr. Watson may exercise his options or warrants at his discretion and may participate in future financings of NVX in the future.
A copy of the related early warning report filed with the British Columbia and Alberta Securities Commissions may be obtained from the SEDAR website (www.sedar.com).
(signed) "John E. Watson"
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.