Business
Trillium Gold to Acquire Remaining Interest in Gold Bearing Newman Todd Property
On Closing Trillium will control 100% in the 198 hectare Newman Todd Property VANCOUVER, BC, Nov. 13, 2020 /CNW/ - Trillium Gold Mines Inc. (TSXV: TGM) (OTCQX:
About this update from Renegade Gold Inc.
[{"type":"text","content":" On Closing Trillium will control 100% in the 198 hectare Newman Todd Property VANCOUVER, BC, Nov. 13, 2020 /CNW/ - Trillium Gold Mines Inc. (TSXV: TGM) (OTCQX: TGLDF) (\"Trillium\" or the \"Company\") is pleased to report that the Company has exercised its pre-emptive right to acquire from Heliostar Metals Ltd. (formerly Redstar Gold Corp.) (\"Helio\") its 16.5% interest in the Newman Todd Project which will result in the Company holding a 100% interest in the Project. Previously the Company owned 83.5% interest in the 198 hectare Project. The Company has agreed to pay to Helio $700,009.43 in cash and to pay the Earn-Out (described below). Russell Starr, CEO of Trillium Gold comments \"Owning a 100% interest in the Newman Todd structure is a crucial acquisition and consistent with our view of maximizing shareholder value through a growth-oriented precious metals exploration company focused in the Americas. We will soon emerge as the one of largest land holders in the Red Lake Gold Camp having acquired some of the most highly perspective property packages in recent months.\" On September 15, 2020, the Company received a pre-emptive right notice (the \"Notice\") from Helio indicating that MTNASH Pty Ltd. (\"Nash\") offered to purchase from Helio its 16.5% interest in the Newman Todd Project (the \"Nash Offer\") for $700,000 of cash and C$2,000,000 worth or ordinary shares in the capital of Nash (the \"Nash Shares\"). The Nash Offer also provided for an earn-out payment of $1,000,000 in the event the \"measured and indicated reserves and resources\" on the Newman Todd Project are 1,000,000 ounces or more (the \"Earn-Out\"). Pursuant to the terms of the agreement between Helio and the Company in respect of the Newman Todd Project, the Company has a right to match any third party offer for Helio's interest. Upon receipt of the Nash Offer, the Company undertook a diligence exercise to confirm the fair market value of the Nash Shares. The results of the Company's due diligence resulted in the Company determining the fair market value of the Nash Shares was $10 Australian Dollars (\"AUD\") based on the following: (i) Nash was incorporated on September 1, 2020, two weeks before Helio delivered the Notice, (ii) Nash has no Australian Business Number (\"ABN\") and accordingly NA...