1911 Gold: A Strategic Investment in Manitoba's Rice Lake Gold District

1911 Gold Corporation (TSXV: AUMB) has recently announced the successful closing of a non-brokered private placement, raising $7,776,290 with a lead investment from a corporate investor. This strategic investment aligns with 1911 Gold's exploration and development strategies, providing capital for near-mine target areas and resource extension drilling. The investment will fund exploration programs qualifying as "Canadian Exploration Expenses" and "flow-through mining expenditures," with a focus on the Rice Lake property in Manitoba. This strategic investment supports 1911 Gold's goal of developing a mining district centered on the True North complex, consistent with the author's preference for stable, predictable growth.

The corporate lead investor, a high-growth gold producer without Canadian assets, seeks to diversify its production base. By investing in 1911 Gold, the investor gains exposure to the promising Rice Lake gold district in Manitoba, while 1911 Gold benefits from the investor's operational expertise and financial support. This collaboration could accelerate 1911 Gold's exploration and development efforts, potentially leading to resource expansion and mine re-start. Moreover, the investor's strategic investment demonstrates confidence in 1911 Gold's management and growth prospects, further enhancing the company's credibility in the market.

The proceeds from the sale of flow-through shares, totaling $7,776,290, will be used to fund exploration programs at 1911 Gold's projects in Manitoba. Specifically, $6,645,540 will be allocated to fund exploration programs qualifying as "Canadian Exploration Expenses" and "flow-through mining expenditures," with a focus on near-mine target areas. This includes the Central Manitoba project, where drilling has already confirmed extensions of gold zones. The remaining $1,130,750 will be used for general corporate purposes, including the ongoing review and optimization of future underground mining operations.



The net proceeds from the sale of common shares, totaling $4,215,636, will be primarily used to fund the ongoing review and optimization of the future underground mining operations at 1911 Gold's True North mine. This includes assessing the economic viability of the mine plan based on the updated Mineral Resource Estimate (MRE) released on November 20, 2024. Additionally, a portion of the proceeds will be allocated for general corporate purposes, such as working capital and operational expenses.



In conclusion, 1911 Gold's recent non-brokered private placement, led by a corporate investor, signals a strategic alignment that could unlock synergies and collaborative opportunities. The investment bolsters the Company's financial stability, enabling further exploration and development of its Rice Lake property. The lead investor's strategic involvement signals confidence in 1911 Gold's growth prospects, potentially attracting more investors and enhancing the Company's market position. As the Company continues to explore and develop its promising assets, investors should keep a close eye on 1911 Gold's progress in the Manitoba gold district.