10/16/2012 03:31 EDT | Updated 12/16/2012 05:12 EST

Corvus raises $3.5 million in non-brokered private placement to fund project

VANCOUVER - Corvus Gold Inc. (TSX:KOR) said Tuesday it has signed a deal to raise nearly $3.5 million in a non-brokered private placement to help fund development of its North Bullfrog Project in Nevada.

Trading in Corvus shares was halted pending the announcement.

Under the deal, Corvus said it will issue 3.25 million shares at a price of $1.07 per share.

The shares will have a hold period in Canada of four months from the closing of the offering.

Corvus is an exploration and development company focused on Nevada, Alaska and Quebec.

Shares in the company were up six cents at $1.28 in trading on the Toronto Stock Exchange after the announcement was made.