Business
Galane Gold to Acquire Vantage Goldfields Limited
TORONTO, ONTARIO--(Marketwired - May 23, 2017) - Galane Gold Ltd. ("Galane" or the "Company") (TSX VENTURE:GG) is pleased to announce that it has entered into a
About this update from Golconda Gold Ltd
[{"type":"text","content":"TORONTO, ONTARIO--(Marketwired - May 23, 2017) - Galane Gold Ltd. (\"Galane\" or the \"Company\") (TSX VENTURE:GG) is pleased to announce that it has entered into a letter of intent (the \"LOI\") for the acquisition of all of the outstanding shares of Vantage Goldfields Limited (\"Vantage\"), a gold mining company with operations in the Mpumalanga Province of South Africa (the \"Acquisition\"). The LOI establishes the terms of the acquisition as between the parties and is expected to be followed by the execution of a binding acquisition agreement (the \"Acquisition Agreement\") setting forth the detailed terms of the Acquisition and containing conditions customary in transactions of this nature including completion of satisfactory legal and technical due diligence, delivery by Vantage of a 43-101 technical report and receipt of all other necessary regulatory or third party approvals including the approval of the TSX Venture Exchange and approval of the Business Rescue Practitioner according to applicable legislation in South Africa. The final structure of the Acquisition will be determined by Galane and Vantage to accommodate various legal, tax and accounting considerations. The LOI is not binding (other than certain provisions including exclusivity obligations) and may be terminated by, among other things, mutual consent or if the Acquisition Agreement and related transaction documents have not been entered into by June 16, 2017. Further details regarding the Acquisition including the consideration to be paid for the outstanding Vantage shares shall be provided in connection with the announcement of the signing of the Acquisition Agreement. CEO Nick Brodie stated, \"This represents another significant step towards Galane's stated goal to reshape the Company into a long-life and low-cost operation that can produce positive returns for investors across commodity cycles. The Vantage mines are located within 30 kilometres of our existing operations at Galaxy Gold and obvious synergies exist between the two operations. We hope to leverage these synergies to create an operating asset in the Barberton area which, together with the Company's Galaxy property, is expected to result in a combined resource exceeding 5,800,000 ounces, production of over 160,000 ounces per annum and an all in sustaining cost of less than US$900 per ounce.\" ...