Business
Patagonia Gold Enters into Definitive Option Agreement to Acquire the Mina Angela Property
VANCOUVER, British Columbia, Sept. 15, 2020 (GLOBE NEWSWIRE) -- Patagonia Gold Corp. (“Patagonia” or the “Company”) (TSXV: PGDC) announces the Company has signe
About this update from Patagonia Gold Corp
[{"type":"text","content":" VANCOUVER, British Columbia, Sept. 15, 2020 (GLOBE NEWSWIRE) -- Patagonia Gold Corp. (“Patagonia” or the “Company”) (TSXV: PGDC) announces the Company has signed a definitive option agreement (the “Definitive Agreement”) with Latin Metals Inc. (“Latin Metals”), which grants Patagonia an irrevocable option to acquire a 100% interest in the Mina Angela property. The Mina Angela property is situated in the Somuncura Massif of southern Argentina and is comprised of 44 individual mining claims. It covers 200 km² and is located approximately 50 km east-southeast of Patagonia’s 100% owned Calcatreu gold project. In March 2020, Patagonia extended the period by which it must enter into the Definitive Agreement with a US$100,000 payment to Latin Metals; US$50,000 of which was applied to extend the period to enter into the Definitive Agreement and US$50,000 of which was a partial prepayment of the first earn-in payment to be made under the Definitive Agreement.Upon signing the Definitive Agreement, Patagonia paid US$200,000 to Latin Metals representing the balance of the first earn-in payment. It is expected that Patagonia will pay the second earn-in payment of US$250,000 within the next six months if it exercises the option to acquire the Mina Angela property. A further, and final payment of US$500,000 is expected to be paid within 30 days of verification that the legal restrictions preventing development of mining activity in the Chubut Province and at the Mina Angela property have been lifted in such a manner that Patagonia thereafter has the ability to perform exploration and exploitation mining activities on Mina Angela property. In addition, Latin Metals will be entitled to receive a 1.25% NSR from future production, half of which can be repurchased by Patagonia for US$1 million.About Patagonia Gold Patagonia Gold Corp. is a mining and development company listed on the TSX Venture Exchange. The Company seeks to grow shareholder value through exploration and development of gold and silver projects in the Patagonia region of Argentina. The Company is primarily focused on the Calcatreu project in Rio Negro and the development of the Cap-Oeste underground project. Patagonia, indirectly through its subsidiaries or under option agreements, has mineral rights to over 360 properties in several provinces of Argentina and Chile and is o...