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Golden Arrow Resources Completes Transaction to Form Joint Venture with Silver Standard Resources for Chinchillas Project
VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 31, 2017) - Golden Arrow Resources Corporation (TSX VENTURE:GRG)(FRANKFURT:GAC)(OTCQB:GARWF)("Golden Arrow" or t
About this update from Golden Arrow Resources Corp.
[{"type":"text","content":"VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 31, 2017) - Golden Arrow Resources Corporation (TSX VENTURE:GRG)(FRANKFURT:GAC)(OTCQB:GARWF)(\"Golden Arrow\" or the \"Company\") is pleased to announce that the Company has completed the transaction with Silver Standard Resources Inc. (TSX:SSO)(NASDAQ:SSRI)(\"Silver Standard\") and formed a joint venture called Puna Operations Inc. which combines the Chinchillas project with the producing Pirquitas operation. The joint venture is owned on a 75% / 25% basis by Silver Standard and Golden Arrow, respectively. Silver Standard will be the operator. \"This news release cannot do justice to express the huge significance that the formation of Puna Operations Inc. has for Golden Arrow and our shareholders,\" stated Joseph Grosso, Executive Chairman, President and CEO of Golden Arrow. \"We are looking forward to play any role that best supports our partnership in the merged assets.\" Transaction Highlights The full details of our Business Combination Agreement with Silver Standard dated September 30, 2015 for the formation of the joint venture were set out in our news release dated October 1, 2015. The following is a summary of the key provisions and benefits of the transaction: Creates a joint venture comprised of the Pirquitas operation and the Chinchillas property with Silver Standard and Golden Arrow holding 75% / 25% interest, respectively, with Silver Standard being the operator. Provides Golden Arrow an opportunity to fast-track development of the Chinchillas property, in a capital efficient manner, through use of the existing production facilities at the Pirquitas operation and establishment of common infrastructure. Near-term production from Chinchillas based on construction beginning in the third quarter of 2017, followed by ore delivery to the mill in the second half of 2018. Immediately benefits from existing infrastructure, operating capabilities and cash flow generated by the currently producing Pirquitas operation. Option exercise payment by Silver Standard to Golden Arrow of 25% of Pirquitas mine earnings less certain expenditures incurred since October 1, 2015 until April 30, 2017, C$17.5 million of which was paid on closing. A final payment, representing the April 30, 2017 until closing shall be payable on or about June 21, 2017. A pre-feasibility study (\"PFS\") has been ...