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Asante Gold Announces Acquisition of Resolute’s Bibiani Gold Mine in Ghana for US$90 Million Cash
VANCOUVER, British Columbia , Aug. 04, 2021 (GLOBE NEWSWIRE) -- Asante Gold Corporation (CSE:ASE/ FRANKFURT:1A9/U.S.OTC:ASGOF) (“Asante” or the "Company") annou
About this update from Asante Gold Corporation
[{"type":"text","content":" VANCOUVER, British Columbia , Aug. 04, 2021 (GLOBE NEWSWIRE) -- Asante Gold Corporation (CSE:ASE/ FRANKFURT:1A9/U.S.OTC:ASGOF) (“Asante” or the \"Company\") announces that the Company has entered into an agreement with Resolute Mining Limited (Resolute) to purchase 100% of their Bibiani Gold Mine in Ghana. Highlights Asante has agreed to buy all of Resolute’s interest in Bibiani, through the purchase of 100% of the shares in Mensin Bibiani Pty Ltd., by paying to Resolute total cash consideration of US$90 million, payable as follows: US$30 million initial payment (on deposit with Resolute to be applied on completion); and additional US$30 million to be paid on or before 6 months from completion; and final US$30 million to be paid on or before 12 months from completion. The agreement has received Ministerial Consent, having been approved by the Ghanaian Honourable Minister of Lands and Natural Resources, with completion expected 10 days after the date of this announcement (subject only to no material adverse change over this period). Resolute is a successful gold miner with more than 30 years’ experience as an explorer, developer and operator of gold mines in Australia and Africa which have produced more than 8Moz of gold. The Company trades on the Australian Stock Exchange (ASX) and the London Stock Exchange (LSE) under the ticker RSG. Resolute currently operates the Syama Gold Mine in Mali and the Mako Gold Mine in Senegal. To fund the initial payment, start up and working capital, Asante has accepted Subscription Receipts from accredited investors for C$80,000,000, which on completion will convert to 118,857,143 Asante common shares at C$0.70 per share. A finder’s fee of 4% of the total subscription receipts, is payable in shares. No new control blocks will be created as a result of this financing. Resolute and Asante are committed to ensuring an orderly transition of ownership at Bibiani. Asante is dedicated to injecting the necessary capital to achieve the rapid restart of Bibiani, which is not expected to result in any immediate changes to outstanding employment or contract relationships. Asante has strong ties to Ghana, with Ghanaian citizens holding a significant shareholding, and board and executive roles. Asante has announced plans to co-list its’ shares on the Ghana Stock Exchange. The Ghanaian Honourable Minister for ...