Evergold secures $350,000 convertible debenture for drilling program

Evergold Corp. (TSX-V: EVER) announced that C.J. Greig Holdings Ltd., owned by company director and Chief Exploration Officer Charlie Greig, agreed to purchase a $350,000 unsecured convertible debenture to finance drilling operations at the DEM Gold prospect in British Columbia.

The debenture carries a 7.5% annual interest rate and matures on December 31, 2026. The principal amount converts into up to 1,521,739 common shares at $0.23 per share prior to maturity. The investor will receive 1,050,000 warrants exercisable at $0.23 per share for two years from issuance.

The funding will support completion of drill hole DEM25-06, targeting mineralization approximately 200 meters below previous intersections. The company plans to begin drilling within one week, according to President and CEO Kevin Keough.

Previous drilling at the DEM Mountain Zone returned encouraging results, including hole DEM23-03 which intersected 48.2 meters grading 0.58 grams per ton gold, with a high-grade section of 11.98 grams per ton gold over 1.5 meters. The mineralization included cobalt, silver, copper, tellurium and antimony.

The 12,728-hectare DEM property is located 40 kilometers northwest of Fort St. James in central British Columbia. The transaction constitutes a related party transaction under regulatory guidelines, with the company relying on exemptions as the issuance does not exceed 25% of market capitalization.

The offering requires regulatory approvals including TSX Venture Exchange approval. All securities issued will be subject to a four-month and one-day hold period.

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