Business
Big Dougie Capital Corp. Announces Proposed Qualifying Transaction
CALGARY, AB / ACCESSWIRE / March 27, 2020 / Big Dougie Capital Corp. (" Big Dougie ") (T...
About this update from Stuve Gold Corp.
[{"type":"text","content":"Big Dougie Capital Corp. Announces Proposed Qualifying TransactionCALGARY, AB / ACCESSWIRE / March 27, 2020 / Big Dougie Capital Corp. (\"Big Dougie\") (TSXV:STUV.P) is pleased to announce details concerning its proposed arm's length qualifying transaction involving a proposed business combination or asset acquisition involving Compania Recursos Andina Limitada (\"Andina\"), a private company incorporated under the laws of Chile, or a joint venture company to be created by Andina (\"Newco\").Overview of AndinaAndina holds 100% unencumbered title to 8.7 square kilometres of mineral claims in the Coastal Gold-Copper belt of Region III, Chile (the \"Mineral Claims\"). These claims contain numerous old mines that exploited high grade gold, copper and cobalt mineralisation from three extensive shear-vein systems. Historic production grades from the old mines range from lows of 5g/t gold, 3% copper and 0.5% cobalt to highs of 65g/t gold, 12% copper and 1.3% cobalt. Historic surface workings on these vein systems are 2 - 15 m wide, extend over 2 - 3 kilometres of strike and to depths of over 180 metres. Mining activities in the area ended in the early 1940s when the main mines were flooded after intense local rainstorms.Summary of the Proposed TransactionBig Dougie has entered into a non-binding Letter of Intent with Andina dated March 19, 2020 (the \"LOI\") pursuant to which Big Dougie and Andina intend to complete a business combination or asset sale (the \"Transaction\") with the ongoing public company (the \"Resulting Issuer\") being called \"Stuves Mining Inc.\" Pursuant to the proposed Transaction, Big Dougie or a subsidiary of Big Dougie will acquire the shares of Newco or the Mineral Claims in exchange for the payment of USD $500,000 in cash payable by Big Dougie to Andina or Newco, as the case may be, and the issuance to Andina or Newco, as the case may be, of 50,000,000 common shares of Big Dougie (\"Big Dougie Common Shares\"). Upon signing of the LOI, the sum of $250,000 shall be payable by Big Dougie to Andina or Newco, as the case may be, with the balance payable at closing of the Transaction. An insider of Big Dougie will be providing funding for payment of the USD $250,000 deposit with the intent of re-paying the deposit by subscribing for Big Dougie Common Shares pursuant to the Private Placement described below. If th...