Victoria Gold Corp

Victoria’s transformation and growth has been significant over the past twelve months, including the completion of two major corporate transactions adding a total of 4.4 million ounces of gold that are National Instrument 43-101 (“NI 43-101”) compliant to the Company, and successfully completing the Phase 1 drill campaign at the Helen Zone located at the Cove project in Nevada, USA.

over 13 years ago

When Victoria Gold comes to the market for more capital, it is likely it will be in the form of a "Pass Through". According to Chad, Pass through financing involves selling stock a premium above its current price to institutional clients - less dilution. Why would anyone be willing to pay a price higher than VIT's current price? From my limited understanding of "Pass Through" financing, the buyers of our stock are given substantial a substantial tax write off that VIT can't use because we have no earnings. One should note that VIT did complete a "Pass Through" stock offering last year at C$1.05 which was priced at a substantial premium above its current price on the offering date. This form of financing is substantially better than selling the stock at a discount to public investors below VIT's current price. What I like about Victoria's management, among other things, is the fact that they are innovative in selecting methods of financing that involve less stockholder dilution than traditional methods of stock offering financing.

According to Chad, we should have ample cash available to fund this year's drilling exploration activities without the need for additional equity capital; however, it is apparent we will eventually need additional capital to meet Victoria's goal of becoming an actual producer of gold.