News Article

E2Gold Closing of Private Placement

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TORONTO, ONTARIO – October 24, 2023 – E2Gold Inc. (TSXV: ETU, OTCQB: ETUGF) pleased to announce that it closed its previously announced private placement (the “Offering”) pursuant to which it has issued an aggregate of 17,500,000 units (“Units”) at a price of $0.02 per Unit, to raise aggregate gross proceeds of $350,000.00.

Each Unit is comprised of one common share of the Company (a “Common Share”) and one Common Share purchase warrant (a “Warrant”); with each whole Warrant exercisable to acquire one additional Common Share at a price of $0.05 for a period of 24 months from the date of issuance thereof.

All securities issued and issuable pursuant to the Offering are subject to a statutory hold period expiring February 25, 2024.  The Offering remains subject to the final approval of the TSX Venture Exchange.  The Company intends to apply the gross proceeds from the Offering towards the exploration program.

In connection with the Offering, the Company paid aggregate cash commissions of $14,000 and issued an aggregate of 700,000 broker warrants to eligible registrants, each such broker warrant entitling the holder thereof to acquire one Common Share at an exercise price of $0.05 for a period of two years.

Insiders of E2 purchased an aggregate of 7,500,000 Units in connection with the Offering.  Accordingly, the Offering constitutes a related party transaction within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101”).  The Company is exempt from the formal valuation and minority shareholder approval of such instruments as the value of the Offering is less than 25% of the market capitalization of the Company, in accordance with sections 5.5(a) and 5.7(1)(a) of MI 61-101.

In other news, further to the Company’s press release dated September 7, 2023, the Company confirms that the offering that closed on September 6, 2023, also constituted a related party transaction within the meaning of TSX Venture Exchange Policy 5.9 and MI 61-101, and the Company was also exempt from the formal valuation and minority shareholder approval of such instrument on the same basis as above in accordance with sections 5.5(a) and 5.7(1)(a) of MI 61-101

ABOUT E2GOLD INC.

E2Gold Inc. is a Canadian gold exploration company with a large flagship property, the 80 km long Hawkins Gold Project in north-central Ontario, about 140 km east of the Hemlo Gold Mine, and 75 km north of the Magino and Island Gold Mines. The property is anchored by the McKinnon Zone Inferred Resource of 6.2 Mt grading 1.65 Au g/t, for 328,800 ounces of gold.2 E2Gold is committed to increasing shareholder value through discoveries at Hawkins.

For further information please contact:

Jeff Pritchard
Investor Relations
Tel. +1-647-699-3340
Email: [email protected]

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward Looking Statements – Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties, certain of which are beyond the control of E2Gold, including with respect to the receipt of all regulatory approvals. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.