TSXV:AALI.H - Post by User
Post by
knoxton Aug 27, 2020 6:22am
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Post# 31459055
Update news
Update news | Advance Gold Provides Update On Its High-Grade Gold Joint Venture Project In West Kenya |
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Newsfile Corp Kamloops, British Columbia--(Newsfile Corp. - August 26, 2020) - Advance Gold Corp. (TSXV: AAX) ("Advance Gold" or "the Company") is pleased to report that as of May 2020, Advance Gold held an 12.23% equity interest in three licenses within the Kakamega Gold Project in West Kenya, with Acacia Exploration Kenya Ltd. ("Acacia"), a company owned by Barrick Gold Corp, holding the balance of 87.77%. The joint venture claims in Kenya comprise the Rosterman, Burkura, and Sigalagala Projects. Barrick has agreed to the sale of their interest to Shanta Gold Limited, a mining company with extensive experience in underground mining of high-grade gold veins in East Africa. The Shanta Gold and Barrick sale was completed and announced in a news release by Shanta Gold dated August 19, 2020. The terms of the joint venture between Advance Gold and Shanta allow either party to sell their interest, the other party has a first right of refusal on any offering price for its joint venture projects. If Advance Gold is diluted down to a 10% interest (approximately $1.7 million in exploration to dilute to an NSR), then its interest converts to a 3% uncapped net smelter royalty (NSR). In the event that Advance Gold is diluted to an NSR, Shanta Gold has no first right of refusal and the NSR can be sold by Advance directly to any interested party. Both parties have the right to dilute the other down if the other party decides to not contribute exploration funds. |