Barisan Gold closes $500,000 private placement

By Romel S. Gurky

TSX-listed Barisan Gold Corporation announced Thursday it has closed the non-brokered private placement previously announced on September 30 and October 1 through the issuance of 25,000,000 units at a price of $0.02 per unit for gross proceeds of US$500,000.

The company said in a statement that each unit consist of one common share and one non-transferable common share purchase warrant. Each share purchase warrant will entitle the holder to purchase one further common share of the company within two years at the price of $0.05 per share.

The proceeds of the financing will primarily be used to maintain or preserve the sssuer's existing operations, activities and assets in regard of the Upper Tengkereng project in Indonesia: $350,000 for exploration work; $100,000 for employees and $50,000 towards administration.

Due to overwhelming interest in the private placement the entire allotment was subscribed to by new and existing shareholders, Barisan Gold said.

?This successful completion of the private placement is an important step in the proposed transaction Barisan Gold entered into under a preliminary agreement with a prominent Indonesian group, to jointly advance Barisan's Indonesian properties previously announced September 30, 2015,? the statement said.

All of the securities issued under the private placement are subject to a four-month hold period expiring March 4, 2016, the company said.

Editing by Reiner Simanjuntak