Dec 31 2015
Pure Gold Mining Inc. is pleased to announce that it has completed a partial sale of certain non-core patented mining claims to Premier Gold Mines Limited, first announced on December 2, 2015.
Pure Gold has received cash consideration of $2,000,000, share consideration of $2,500,000 (consisting of 1,001,721 common shares of Premier Gold, valued at the 20-day VWAP of Premier Gold's common shares on First Closing) and a 1% net smelter return royalty on substantially all of the Buffalo Claims, in exchange for the transfer of all mineral rights and certain surface rights on the Buffalo Claims to Premier Gold.
The remaining $500,000 in cash consideration will be received by Pure Gold upon the transfer of all remaining surface rights relating to the Buffalo claims to Premier Gold. The transfer is expected to occur in Q1 2016, following the receipt of customary regulatory consents.
2016 EXPLORATION PROGRAM
Pure Gold's exploration focus in 2016 will be to drill test and advance near-surface high-grade targets associated with the prospective mafic-ultramafic folded stratigraphy to the north and west of the historic mine workings, as well as advance evolving near-mine targets that have developed out of recent structural interpretation and modelling. The Company will also continue engineering studies to assess the existing mining and milling infrastructure, and assess potential development opportunities within the existing resource base and nearby prospects. This engineering study will be utilized in designing additional drilling for the purpose of upgrading and expanding the current mineral resource.
Pure Gold is currently preparing for a minimum 6,000 metre winter drill program, designed to test prospective near surface targets, commencing in January 2016.
Source: http://www.puregoldmining.ca/