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Maple Gold Announces Joint Venture Restructuring Transaction with Agnico Eagle and C$4.05 Million Flow-Through Private Placement
Company to Acquire 100% of Douay/Joutel with a Clear Path Forward Not for distribution to Unite...
About this update from Maple Gold Mines Ltd
[{"type":"text","content":"Maple Gold Announces Joint Venture Restructuring Transaction with Agnico Eagle and C$4.05 Million Flow-Through Private PlacementCompany to Acquire 100% of Douay/Joutel with a Clear Path ForwardNot for distribution to United States news wire services or for dissemination in the United StatesVancouver, British Columbia--(Newsfile Corp. - June 20, 2024) - Maple Gold Mines Ltd. (TSXV: MGM) (OTCQB: MGMLF) (FSE: M3G) (\"Maple Gold\" or the \"Company\") is pleased to announce the signing of a definitive conveyance and option agreement dated June 20, 2024 (the \"Agreement\") with Agnico Eagle Mines Limited (\"Agnico Eagle\") under which the parties intend to complete a restructuring transaction (the \"Restructuring Transaction\") that will result in Maple Gold obtaining legal title and a 100% ownership interest in the multi-million-ounce1 Douay Gold Project (\"Douay\") and past-producing, high-grade Joutel Gold Project (\"Joutel\") (together, the \"Projects\") located along the Casa Berardi-Douay Gold Trend in Québec, Canada.The Company is also pleased to announce its intention to complete a non-brokered private placement of up to 33,821,842 flow-through common shares of the Company (each a \"FT Share\") at an issue price of C$0.12 per FT Share for aggregate gross proceeds of C$4,058,621 (the \"Offering\").Key Terms of the AgreementThe Restructuring Transaction will be effected under the Agreement, which has the following key terms:The parties will mutually terminate the joint venture agreement dated February 2, 2021 (the \"JV Agreement\") between the Company and Agnico Eagle. The JV Agreement currently governs the joint venture among the parties with respect to the Projects (the \"JV\") providing for, among other things, the joint exploration and development of the Projects by the parties.Agnico Eagle will transfer to Maple Gold legal title to the properties and assets of the JV (the \"JV Assets\"), to the extent such JV Assets are subject to Agnico Eagle's participating interest in the JV.Maple Gold will grant to Agnico Eagle a 1.0% net smelter return royalty in respect of the JV Assets (the \"Dilution NSR\").Maple Gold will grant to Agnico Eagle an exclusive option (the \"Construction Option\") to acquire a 50% ownership interest in all of Maple Gold's right, title and interest in the JV Assets. The Construction Option will be e...