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Galane Gold Announces Execution of Definitive Agreement for the Acquisition of the Summit Mine in New Mexico and Closing of C$9.68 Million Private Placement With Lead Order From Palisades Goldcorp
TORONTO, April 08, 2021 (GLOBE NEWSWIRE) -- Galane Gold Ltd. (“Galane Gold” or the “Company”) (TSX-V: GG; OTCQB: GGGOF) is pleased to announce that it has enter
About this update from Golconda Gold Ltd
[{"type":"text","content":" TORONTO, April 08, 2021 (GLOBE NEWSWIRE) -- Galane Gold Ltd. (“Galane Gold” or the “Company”) (TSX-V: GG; OTCQB: GGGOF) is pleased to announce that it has entered into a definitive agreement to acquire (the “Acquisition”), through a wholly-owned subsidiary, the Summit Mine (the “Mine”) and the infrastructure constituting the Banner Mill in New Mexico (collectively, the “Assets”) from Pyramid Peak Mining, LLC, a wholly-owned subsidiary of Waterton Precious Metals Fund II Cayman, LP. Closing of the Acquisition is expected to occur on or about May 16, 2021, and is subject to certain conditions including, but not limited to, completion of a confirmatory title report on the Assets and approval of governmental and regulatory authorities, including the TSX Venture Exchange (\"TSXV\"). For further details on the Acquisition and the Assets, please see the Company’s press release dated March 16, 2021. Nick Brodie, CEO of Galane Gold commented, “The Galane Gold management team is excited with the opportunity of restoring another mining operation to economic production. We have successfully done this twice already at our Mupane and Galaxy properties. The acquisition of the Summit Mine is another step in our corporate goal to reshape the Company into a long-life and low-cost operation that can produce positive returns for investors across commodity cycles. This operation represents a perfect example of this representing an opportunity to increase Galane Gold’s production, lower its operating costs and reduce its country risk.” The Company is also pleased to announce that it has closed its previously announced private placement (the “Offering”) of subscription receipts of the Company (“Subscription Receipts”). In connection with the Offering, the Company has issued 44,028,700 Subscription Receipts at a price of C$0.22 per Subscription Receipt (the \"Issue Price\") for aggregate proceeds of C$9,686,314, including a lead order from Palisades Goldcorp Ltd. (“Palisades”). The net proceeds of the Offering will fund the initial cash consideration of US$6 million payable at the closing of the Acquisition. Canaccord Genuity Corp. acted as lead agent in connection with the Offering, on behalf of a syndicate of agents, including Research Capital Corporation (the \"Agents\"). The Subscription Receipts were issued pursuant to a sub...