Cerrado Gold Inc V.CERT

New Press Release - Cerrado Gold Signs Option and Loan Agreements With Subsidiary of Hochschild Mining PLC for the Sale of the Monte Do Carmo Gold Project for Total Consideration of US$60 Million (C$80 Million)

Proposed Transaction with Amarillo Mineração do Brasil Ltda. to strengthen balance sheet and address lack of liquidity in the junior mining sectorCompany well-positioned to drive future growth via its operating Minera Don Nicolas gold mine in Argentina and its Mont Sorcier development project in...read article.

[TBill3]

So they have a market cap of 26 million CAD and just got 80 million CAD for the sale of the Brazil project.  This deal is worth 80 cents a share and it is trading at 26 cents.  They still have the Argentina mine generating revenue and the Quebec propert to develop.  Seems like a steal. Am I missing something?

[Streaky]

It is a steal, especially with a rising POG. think the market wants to see Argentina mine profitable to regain trust and confidence

[ABDPhil]

@TBill3: It's not as simple as that, because the agreement is on an "OPTION" of repurchase of MDC, and there are conditions to be met.   If this transaction is finally concluded, it would be necessary to ensure that the payment schedule can truly help Cerrado to capitalize its working capital and finance its investments, not knowing what investments are involved and what the