Highgold Mining Inc V.HIGH

Alternate Symbol(s): HGMIF

Metals & Mining Gold

HighGold Mining Inc. is a Canada-based mineral exploration company. The Company is focused on high-grade gold projects located in North America. The Company's flagship asset is the high-grade Johnson Tract Gold-Zinc-Copper Project located in accessible Southcentral Alaska, United States of America. The Company also controls junior gold miner land positions in the Timmins, Ontario gold camp. This includes the Munro Croesus Gold property, Golden Mile, and Timmins South properties. The Company also has 100% ownership of a group of properties in Yukon's new Selwyn Basin Reduced Intrusive Related Gold district. Its Johnson Tract Project is a poly-metallic (gold, copper, zinc, silver, lead) project located near tidewater in Southcentral Alaska. It includes the high-grade Johnson Tract Deposit (JT Deposit) and numerous mineral prospects over a 12-kilometer strike length. The Munro-Croesus Gold Project is located approximately 75 kilometers (47 miles) east of Timmins, Ontario.

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Highgold Mining Inc

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Post by Betteryear2on May 02, 2024 2:01pm

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Post# 36019971

Contango Announces Acquisition of HighGold

BENEFITS TO CONTANGO SHAREHOLDERS

The Johnson Tract Project is a high-grade +1 M oz AuEq polymetallic deposit (grade of approximately 9.4 g/t AuEq) with an opportunity for near term production and excellent exploration potential.
Strengthens Contango's the core portfolio and positions it to continue executing its strategy of building Alaska's next gold mines and growing annual gold production to +150 k oz Au.
Significant potential to unlock value by leveraging Contango's expertise, resources and projected cash flow to accelerate the development of the Johnson Tract Project.
Opportunity to execute Contango's proven low-risk development strategy using its DSO platform. Contango has developed Manh Choh on schedule and on budget with production expected in the second half of 2024.
Highly accretive to Contango on an in-situ basis with HighGold's ounces being acquired at ~US$30/oz AuEq with potential for a re-rating within Contango's portfolio as Manh Choh achieves commercial production.
Expanded platform for Contango to continue its growth strategy in Alaska and elsewhere in the US and Canada.

BENEFITS TO HIGHGOLD SHAREHOLDERS

Significant upfront premium of approximately 59% and 79% based on both companies' respective 20-day and 5-day VWAP.
Early participation in an emerging growth-focused gold mining company with a mission to become a low-risk multi-asset producer.
Elevated capital markets profile, improved trading liquidity and NYSE American listing and inclusion in the Russell 2000 index.
Ability for Contango to progress the Johnson Tract Project with enhanced financial capacity, supported by projected organic cash flow and the teams impressive project development track-record in Alaska.
Manh Choh projected to generate US$54 million per year in free cash flow at a gold price of $1,920/oz (based on Contango's 30% interest).
Near-term re-rating potential once transitioned into a producer, with first gold pour from Manh Choh expected in the second half of 2024.
Potential to apply DSO model successfully utilized at Manh Choh to both the Johnson Tract Project and Contango's Lucky Shot Project.
Continued exposure to exploration upside with lower execution and funding risk.

Contango Announces Acquisition of HighGold (newsfilecorp.com)