(SLAU.V) Jan. 9, 2019 – Sandy Lake Gold Inc. has entered into a definitive agreement dated effective Jan. 2 providing for the acquisition of all of the issued and outstanding shares of Bartica Investments Ltd. in consideration of the issuance of an aggregate of 100 million common shares of the company.
At the time of closing of the acquisition, Bartica will own a 100-percent beneficial interest in a suite of mineral exploration properties totalling approximately 25,888 acres in Guyana, other than the properties known as the Oko properties in respect of which Bartica will hold an option to acquire a 100-percent interest, subject to a 2.5-percent net smelter return royalty, in consideration of a cash payment of USD$50,000 (which has previously been paid); additional aggregate cash payments of USD$700,000 to be paid in tranches over a four-year period; and the identification of a gold resource in excess of 250,000 ounces on the property and payment of advance net smelter return royalty of USD$1 million.
The closing of the acquisition is subject to several conditions including, but not limited to the following: approval of the majority of disinterested shareholders as the transaction is a non-arms length transaction, as Patrick Sheridan is both a director, officer and significant shareholder of the Company, as well as one of the vendors in the transaction; and approval of the TSX Venture Exchange.
Trading in the common shares of the company on the Exchange has been halted and will remain halted until the requirements of the Exchange have been met to reinstate trading.
Sandy Lake Gold is a Toronto-based mineral and exploration company focused on the exploration of the recently acquired mineral claims in the underexplored Sandy Lake archean greenstone belt in northwestern Ontario.Disclaimer: ALWAYS DO YOUR OWN RESEARCH and consult with a licensed investment professional before making an investment. This communication should not be used as a basis for making any investment.