Business
Harvest Signs LOI to Amalgamate with Canasur Gold Ltd.
(via Thenewswire.ca) Vancouver, BC / TheNewswire / February 17, 2016 - Harvest Gold Corpor...
About this update from Harvest Gold Corporation
[{"type":"text","content":"Harvest Signs LOI to Amalgamate with Canasur Gold Ltd.(via Thenewswire.ca)\n\n \nVancouver, BC / TheNewswire / February 17, 2016 - Harvest Gold Corporation (TSX.V: HVG) (the \"Company\") is pleased to announce that it has executed a Letter of Intent (LOI) dated February 16, 2016 with Canasur Gold Ltd. (\"Canasur\"), a private arm's length Nova Scotia company with mineral interests in Suriname. \n\n\n \nThe LOI provides for the amalgamation of Canasur with Harvest (the \"Amalgamation\") by way of a three cornered amalgamation under the B.C. Business Corporation Act whereby Canasur would continue into British Columbia and amalgamate with a newly formed subsidiary of Harvest. In connection with the Amalgamation shareholders of Canasur would collectively receive 16,247,008 shares of Harvest, representing 2/3 of the issued and outstanding shares of Harvest prior to the completion of the equity financing detailed below.\n\n\n \nIn connection with the Amalgamation, Harvest plans to complete an equity financing of up to $1,000,000 (minimum $650,000) by way of the issuance of units at $0.05, with each unit to be made up of a share and a warrant entitling the holder to acquire a further share of Harvest at $0.10 for a term of two years. Finder's fees may be paid in connection with the financing.\n\n\n \nOn closing of the Amalgamation it is proposed that Joel Matheson, a director of Canasur, will be appointed to the Board of Directors of Harvest. \n\n\n \nThe Amalgamation remains subject to completion of satisfactory due diligence, execution of a definitive agreement and receipt of all requisite regulatory approvals, including the acceptance of the TSX Venture Exchange and the approval of the shareholders of Canasur. \n\n\n \nHarvest's President and CEO Rick Mark states: \"This opportunity came to us through my relationship with David Mosher, who is on the Canasur Board and also sits on the Harvest Board (see news release of January 7, 2016). His personal history of discovery around the world includes his time as President and CEO of High River Gold in the West African Greenstone Belt in Burkina Faso in the late 1990's and early 2000's. He and his team extrapolated the rich gold belts of Ghana north through the Burkina Faso border believing there was no geological reason for the belt to stop there. Today, there are 6 deposits in production...