Business
Mako Mining Enters into Letter of Intent to Sell Mexican Operations
Mako Mining Enters into Letter of Intent to Sell Mexican Operations Canada NewsWir...
About this update from Mako Mining Corp.
[{"type":"text","content":"\n\n\n\nMako Mining Enters into Letter of Intent to Sell Mexican Operations\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nVANCOUVER, Dec. 17, 2019\n\n\n\nTSX-V: MKO\n VANCOUVER, Dec. 17, 2019 /CNW/ - Mako Mining Corp. (TSX-V: MKO) (\"Mako\" or the \"Company) is pleased to announce that it has entered into a non-binding Letter of Intent (the \"LOI\") with Goldplay Exploration Ltd. (\"Goldplay\") pursuant to which it is proposed that Goldplay shall have the right to acquire 100% of the common shares of Mako's wholly-owned subsidiary, Marlin Gold Mining Ltd. (\"Marlin\"), from Mako.  Marlin is a private British Columbia company that owns, amongst other non-material assets, Oro Gold de Mexico, S.A. de C.V. (\"Oro Gold\"), a Mexican company that owns the La Trinidad mine facilities (\"La Trinidad\"), which are currently being decommissioned.  Oro Gold also controls 100% of nine concessions totaling 104,094.5 hectares located adjacent to Goldplay's existing portfolio in the historic Rosario gold-silver mining district in Sinaloa, Mexico.  The final transaction structure will be determined by the parties subject to receipt of all necessary legal, financial and tax advice.\nAkiba Leisman, Chief Executive Officer of Mako states that, \"we are happy that we have entered into an LOI to sell our Mexican operations to our neighbor.  We are nearly finished producing gold at La Trinidad, and the sale of our Mexican operations will allow us to focus solely on our San Albino gold project currently under development in Nicaragua.  Subject to successful completion of this transaction, a substantial tax liability currently ring-fenced at our Mexican subsidiaries is expected to be removed from Mako's balance sheet.  Furthermore, it is expected that Mako will be entitled to any insurance proceeds from its claims against its insurers and reinsurers, which currently exceed US$7 million.  Finally, it is proposed that Mako will retain a small NSR royalty on a district-scale land package to benefit from future exploration success.\"...