ONGold unveils $7.7 million bought deal, shares rally

ONGold Resources Ltd. [ONAU-TSXV] said it is raising $7.7 million from a bought deal private placement financing.

ONGold owns exploration assets in Northern Ontario and Northern Manitoba, including the district-scale Monument Bay Gold-Tungsten project, TPK, Domain and October projects.

The private placement will consist of the following:

• 6 million common shares that will qualify as flow through shares under the Income Tax Act (Canada) and will qualify as “eligible Ontario exploration expenditures” priced at $0.965 per share for gross proceeds of $2.5 million.
• 28 million common shares that qualify as “flow-through shares,” and will also quality as “flow-through mining expenditures” within the Income Tax Act of (Manitoba) at a price of $1.095 per share for gross proceeds of $2.5 million.
• 97 million common shares priced at 68 cents per share for gross proceeds of $2.7 million.

The offering is expected to close by October 1, 2025, subject to regulatory approvals, including the approval of the TSX Venture Exchange.

On Monday, ONGold shares jumped 15.8% or 12 cents to 88 cents and trade in a 52-week range of 90 cents and 34.5 cents.

Back in November, 2024, ONGold struck a deal to purchase a 100% interest in the Monument Bay and Domain gold projects in Manitoba from a unit of Agnico-Eagle Mines Ltd. (AEM-TSX, AEM-NYSE) and Agnico Eagle and Capella Minerals Ltd. [CMIL-TSXV] in the case of Domain.

Following closure on December 23, 2024, Agnico-Eagle owns a 15% stake in ONGold, a company that began trading on the TSX Venture Exchange in May, 2024, after completing the acquisition of Northern Superior Resources Inc.’s [SUP-TSXV, NSUPF-OTCQX] mining projects in Ontario.

Northern Superior currently holds 35.7 million common shares of ONGold, or 72.35% of the issued and outstanding shares.

ONGold entered into two separate agreements for Monument Bay and Domain. Under those agreements ONGold acquired the Monument Bay and Domain projects for $250,000, of which $100,000 was payable under the Monument agreement and $150,000 under the Domain agreement. ONGold also agreed to pay 8.7 million common shares, worth $4.2 million or $0.485 per share, a move that left Agnico-Eagle with a 15% stake in the company.

In addition, Agnico-Eagle is entitled to up to $21.5 million in contingent milestone-based payments under the Monument Bay agreement, while Agnico and Capella were together entitled to $500,000 in contingent milestone payments under the Domain Agreement.

The compilation of new interpretive work completed by ONGold in 2025 resulted in the identification of five target areas. The company said it believes the Ankerite/Gold Pond area, the AZ Zone/Central Zone area, and Monument Bay deposit west extension are the highest priority areas and have the highest potential for the discovery of new gold resources.

Monument Bay is located in northeastern Manitoba, near the Ontario-Manitoba border and represents a district-scale exploration opportunity with significant gold and tungsten mineralization over a 40-kilometre strike length.