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Vangold Mining Corp. Signs LOI to Acquire the Tassawini Gold Property, Guyana, SA
Announces Corporate Restructuring with post consolidation Private Placement of $500,000 and ...
About this update from Guanajuato Silver Company Ltd.
[{"type":"text","content":"Vangold Mining Corp. Signs LOI to Acquire the Tassawini Gold Property, Guyana, SAAnnounces Corporate Restructuring with post consolidation Private Placement of $500,000 and the Appointment of Mr. Robert Kang as DirectorVANCOUVER, BC / ACCESSWIRE / December 24, 2018 / Vangold Mining Corp. (the \"Company\" or \"Vangold\") (TSXV:VAN) is pleased to announce that it has entered into a Binding Letter of Intent effective December 12, 2018 (the \"LOI\"), pursuant to which the Company has agreed to acquire all of the outstanding shares of Aventura Gold Ltd. (\"Aventura\"), in an arm's length transaction (the \"Transaction\").Aventura is a privately held mineral acquisition company incorporated under the laws of British Columbia. Aventura holds an option to acquire the Tassawini Mining License (the \"Property\") located in Guyana, South America. The Property is located approximately 170 kilometers northwest of the Guyana capital city of Georgetown. The Property has had historical exploration including exploratory diamond drilling. The property possesses additional exploration potential with various untested zones on the Property. There has been two reports that have been published containing historical estimates of gold in fresh and weathered bedrock as well as saprolite. Saprolite is clay-like soft rock, created from deep intense weathering of the bedrock surface, in which gold grades may be enriched.In consideration for all outstanding shares of Aventura, the Company has agreed to make cash payments totaling US$4,000,000 and an equity payment of shares valued at $12,000,000 Canadian. The equity payment will be structured by way of common shares and a non-voting convertible preferred stock class which will be convertible into Vangold common shares valued on a 10-day VWAP with a $0.05 floor at time of issuance. Concurrent to the closing there will be an equity financing of up to $10,000,000 at the same price as the equity payment.Closing of the Transaction is subject to the approval of the TSX Venture Exchange and a number of conditions including; Vangold completing a consolidation of its outstanding capital structure on a 2:1 basis, completion of satisfactory due diligence, the entering into of a definitive agreement, the completion of a financing acceptable to both Vangold and Aventura and the completion of a technical report in respect...