Business
Brookmount Gold Corp. (Brookmount Explorations, Inc.) Enters Into a Binding Agreement to Acquire a Producing Gold Mine in Brazil
Brookmount Gold Corp. (Brookmount Explorations, Inc.) Enters Into a Binding Agreement to Acquire a Producing Gold Mine in Brazil.
About this update from Brookmount Explorations, Inc.
[{"type":"text","content":"\n NEW YORK, Feb. 09, 2023 (GLOBE NEWSWIRE) -- The Board of Directors of OTC-listed Company Brookmount Gold (Brookmount Explorations, Inc.) (OTC: BMXI) (BMXI.US) (“Brookmount”) today announced that it has signed a binding Memorandum of Understanding (MoU) to acquire a 75% interest in a producing gold mine located in the state of Tocantins, central Brazil. The acquisition transaction can be summarised as follows: Please find the Tocantins Gold Mine Brazil Presentation https://s3.amazonaws.com/content.otcmarkets.com/media/1882297210/ObucNlUzANZfYBt/doc.pdf Structure:Brookmount will acquire a 75% interest in the Tocantins project from Geoblocks Exploration Ltd (“Geoblocks”), a company incorporated in the UK, which has entered into an irrevocable undertaking to acquire the 75% interest in Tocantins from its Brazilian owners. Acquisition Consideration: $500,000 initial deposit to be paid within 30 days of signing of the binding MoU, or such other date as agreed between the parties. $4.5 million in cash to be paid on signing of a definitive Acquisition Agreement, which will take place within 60 days from signing of the binding MoU or such other date as agreed between the Parties. In addition to the cash component outlined above, at final closing of the Transaction, Brookmount will arrange for the issuance of restricted common stock such that Geoblocks will control 49% of Brookmount shares, calculated on a fully diluted basis. Board Composition:As an integral part of the transaction, 2 key directors of Geoblocks will join the Brookmount Board, Lord Christopher Wellesley and Charles Heather. Lord Wellesley, with an outstanding resume as an international investment banker, and Mr. Heather with an extensive and impressive resume in the mining and resource industries, particularly in Latin America, will bring enormous presence to the Board and the Company as it pursues the expansion of its international gold production platform.An additional announcement outlining further details on our new directors will be made shortly. The Project:The Tocantins gold mine (Brazil) is an operational gold mine with a licensed area spanning over 30,000 hectares. To date, a gold strike length of over 30 kilometres has been identified, with only 700 meters thoroughly explored. This limited exploration has already validated the presence...