Aben Gold Corp. (TSX-V: ABM) announced a proposed non-brokered private placement to raise up to $1.5 million through the issuance of 7.5 million flow-through units priced at $0.20 per unit.

Each flow-through unit consists of one flow-through common share and one-half of one common share purchase warrant. The warrants allow holders to purchase additional shares at $0.30 per share for 24 months following the offering's completion.

The company stated it will use proceeds primarily for exploration and drilling activities at its Justin gold tungsten property in southeastern Yukon Territory, Canada. The property is located within the Tombstone Gold Belt and spans 7,400 hectares.

Under Canadian tax regulations, gross proceeds from the flow-through shares must be spent on eligible Canadian exploration expenses that qualify as flow-through mining expenditures by December 31, 2027. The company will renounce these proceeds to purchasers with an effective date no later than December 31, 2026.

Securities issued in the offering will be subject to a four-month and one-day hold period under Canadian securities laws. The transaction requires approval from the TSX Venture Exchange.

The offering may involve participation from company insiders, which would constitute a related party transaction under securities regulations. However, this would be exempt from formal valuation and minority shareholder approval requirements as insider participation would not exceed 25% of the company's market capitalization.

Aben Gold currently has 28.3 million shares outstanding. The company focuses on gold exploration projects in Yukon Territory and British Columbia.