Kamloops, British Columbia–(Newsfile Corp. – May 23, 2019) –
Advance Gold Corp. (TSXV: AAX) (“Advance Gold” or “the Company”) is
pleased to provide an update on the recent news that Barrick Gold
Corporation (“Barrick”) has made a takeover offer for Acacia Mining
plc(“Acacia”). The Company has not been contacted by either Barrick or
Acacia concerning the takeover offer and its effect on the Kakamega
joint venture project between Acacia and Advance Gold.
Earlier
this year, new licenses for the joint venture project were issued.
Exploration plans have been made for the upcoming exploration season to
be underway once the rainy season in west Kenya is over.
The joint
venture is owned 85.37% by Acacia and 14.63% by Advance Gold. If during
the joint venture either party decides to sell their interest, the
other party has a first right of refusal on any offering price. If
Advance Gold is diluted down to a 10% interest (approximately $1.7
million in exploration to dilute), then its interest converts to a 3%
uncapped net smelter royalty (NSR). In the event that Advance Gold is
diluted to a NSR, Acacia Mining has no first rights of refusal and the
NSR can be sold directly to any interested party.
Allan Barry Laboucan, President and CEO of Advance Gold Corp. commented: “Advance
Gold is keenly watching recent developments concerning the takeover
offer that Barrick has made for our joint venture partner Acacia Mining
plc. Although Barrick owns a large majority of the shares of Acacia
Mining, it is an independently run public company. We are eager to see
how the takeover proceeds and how it will affect Advance. We are looking
at all our options concerning our Kakamega project.”
Julio
Pinto Linares is a QP, Doctor in Geological Sciences with specialty in
Economic Geology and Qualified Professional No. 01365 by MMSA., for
Advance Gold and is the qualified person as defined by National
Instrument 43-101 responsible for the accuracy of technical information
contained in this news release.
Other news
In a press
release dated April 24, 2019, Advance announced that it was granting
stock options to its directors, key employees and consultants at an
exercise price of $0.12 per share. The Board of Directors has determined
that it’s in the Company’s best interest to amend the issue price of
these options to $0.065 per share. As per conditions of the Company’s
stock option plan, it will be a term of each stock option agreement that
a mandatory hold period will be imposed upon the sale or disposition of
any shares acquired for four months from the date of the grant of the
stock options.
About Advance Gold Corp. (TSXV: AAX)
Advance
Gold is a TSX-V listed junior exploration company focused on acquiring
and exploring mineral properties containing precious metals. The Company
acquired a 100% interest in the Tabasquena Silver Mine in Zacatecas,
Mexico in 2017, and the Venaditas project, also in Zacatecas state, in
April, 2018.
The Tabasquena project is located near the Milagros
silver mine near the city of Ojocaliente, Mexico. Benefits at Tabasquena
include road access to the claims, power to the claims, a 100-metre
underground shaft and underground workings,plus it is a fully permitted mine.
Venaditas
is well located adjacent to Teck’s San Nicholas mine, a VMS deposit,
and it is approximately 11km to the east of the Tabasquena project,
along a paved road.
In addition, Advance Gold holds a 14.63%
interest on strategic claims in the Liranda Corridor in Kenya, East
Africa. The remaining 85.37% of the Kakamega project is held by Acacia
Mining (63% owned by Barrick Gold Corporation).
For further information, please contact:
Allan Barry Laboucan,
President and CEO
Phone: (604) 505-4753
Email: [email protected]
Corporate website: www.advancegold.ca
