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Roscan Gold Enters into Binding LOI to Make Strategic Acquisition of Adjoining Dabia Sud Property from Komet Resources
Toronto, Ontario--(Newsfile Corp. - May 11, 2020) - Roscan Gold Corporation (TSXV: ROS) (F...
About this update from Roscan Gold Corporation
[{"type":"text","content":"Roscan Gold Enters into Binding LOI to Make Strategic Acquisition of Adjoining Dabia Sud Property from Komet ResourcesToronto, Ontario--(Newsfile Corp. - May 11, 2020) - Roscan Gold Corporation (TSXV: ROS) (FSE: 2OJ) (\"Roscan\" or the \"Company\") is pleased to announce that it has entered into a binding Letter of Intent (\"LOI\") pursuant to which it will, through its wholly owned Malian subsidiary, acquire 100% of the issued and outstanding shares of Komet Mali SARL, a wholly owned subsidiary of Komet Resources Inc. (\"Komet\") Komet Mali SARL owns the Dabia Sud Project, including 35km2 of concessions with highly prospective exploration potential directly adjoining our Kandiole Property. (Figure 1)Acquisition Highlights Highly prospective land package adjacent of Roscan to the North-East and West of Oklo Resources (OKU AU) (See Figure 1);The Kabaya deposit has an \"historical estimate\" (Disclosures are listed below) that is pit-constrained with 105,000 ounces of Indicated Resource and 35,000 ounces of Inferred Resource which has been drilled to an average depth of 80m, and the deposit remains open at depth (See Figure 2); Multiple High Priority Targets on the newly acquired property including Kabaya, Disse and Walia (See Figure 3);Attractive acquisition price at $3.2MM CAD comprised of 50% cash and 50% in shares of Roscan (ROS), equating to a purchase price of $16 USD per ounce (see Definitive Terms below);With the recent successful financing (May 5, 2020) and post recently warrant exercises (April 24, 2020) the Company has added over $10MM to its treasury. The Company is in an excellent financial position to capitalize on this opportunity and unlock value with increased financial flexibility.Figure 1: Location Map of Dabia Sud Property with Roscan and Oklo ResourcesTo view an enhanced version of this graphic, please visit:https://orders.newsfilecorp.com/files/4821/55678_8a35b091d45759dd_001full.jpgBased on the binding LOI, the terms of the transaction are as follow: Cdn $1,600,000 cash payment to Komet; Cdn $1,600,000 in Roscan shares. (Subject to TSXV approval, the number of Roscan Shares to be issued by Roscan in connection with the payment will be calculated by dividing such amount by 5-day VWAP of the Roscan Shares on the TSXV calculated as of the day prior to the Closing Date.) (\"Purchase Shares\")It is anticipated th...