Business
Big Ridge Gold Increases Its Ownership in Hope Brook Gold Project to 80% and Arranges for the Acquisition of First Mining's Shares in Big Ridge Gold Corp.
Toronto, Ontario--(Newsfile Corp. - March 28, 2024) - Big Ridge Gold Corp. (TSXV: BRAU) (" Big Ri...
About this update from Big Ridge Gold Corp
[{"type":"text","content":"Big Ridge Gold Increases Its Ownership in Hope Brook Gold Project to 80% and Arranges for the Acquisition of First Mining's Shares in Big Ridge Gold Corp.Toronto, Ontario--(Newsfile Corp. - March 28, 2024) - Big Ridge Gold Corp. (TSXV: BRAU) (\"Big Ridge\" or the \"Company\") is pleased to announce that it has completed its exercise of its second earn-in right at the Hope Brook Gold Project (the \"Hope Brook Project\"), thereby increasing its ownership percentage in the project from 51% to 80%. The Company issued 10,000,000 common shares to First Mining Gold Corp. (\"First Mining\") in order to acquire the additional 29% interest in the project. First Mining will retain a free carry on its 20% ownership interest in the Hope Brook Project until such time as Big Ridge completes a feasibility study on the project. Immediately following closing of the earn-in exercise, the Company arranged for the acquisition of all of First Mining's 36,500,000 Big Ridge common shares by a group comprised primarily of existing Big Ridge shareholders. Michael Bandrowski, President & CEO of the Company, stated: \"The acquisition of First Mining's block by several existing and new shareholders demonstrates the confidence and support for the Company's continued exploration and development of the Hope Brook Gold Project. The shares are now in the hands of longtime shareholders that have been supportive of management since announcing the Hope Brook earn-in agreement in April 2021. The Completion of the earn-in adds approximately 420,000 attributable gold ounces to the Company's robust resource base and eliminates required project expenditures of approximately $4.2 million as part of the stage 2 earn-in.\"Pursuant to Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"MI 61-101\"), the issuance of the Earn-in Shares to First Mining constitutes a \"related party transaction\" but the Company is exempt from the requirements to obtain a formal valuation or minority shareholder approval in connection with the issuance in reliance on sections 5.5(a) and 5.7(a), respectively, of MI 61-101.The 10,000,000 common shares of the Company issued in connection with the exercise of the second earn-in right shall be subject to a four month hold period under applicable Canadian securities laws as well as the TSX Venture E...