Midas Gold Corp. ("Midas Gold" or "Corporation") today announced that it and its subsidiaries (the "Midas Group") have completed the previously announced US$15.0 million transaction with Franco-Nevada Corporation ("Franco-Nevada") and one of its subsidiaries whereby the Midas Group has sold certain rights to a royalty on future gold production from the Golden Meadows Project in Valley County, Idaho as well as two million warrants exercisable for shares of Midas Gold.
"We are pleased to have completed the US$15 million transactions with Franco-Nevada and its subsidiary," said Stephen Quin, President & CEO of Midas Gold. "These funds allow us to continue advancing the evaluation of the world-class Golden Meadows gold-silver-antimony-tungsten project in Idaho. The Golden Meadows project benefits from a large, high-grade mineral resource located in a low-risk jurisdiction that has the potential to support a long-life, low-cost, open pit mining operation with significant production as demonstrated in the Preliminary Economic Assessment published in September 2012. The mineral resources and potential future development area are contained within a brownfields site that has been extensively mined for almost 100 years, and offers the potential for reclamation and restoration of past disturbance contemporaneously with development of a new mine, designed to modern standards, that results in an enhanced environmental outcome as compared to the current situation."
Additional details of the transactions can be found in Midas Gold's news release dated May 7, 2013.
Advisors
Haywood Securities Inc. acted as financial advisor to Midas Gold and its board of directors in respect of this transaction.
Majority Voting Policy
The board of directors of Midas Gold (the "Board") has adopted a majority voting policy which requires, in an uncontested election of directors, that any nominee in respect of whom a greater number of votes "withheld" than votes "for" are validly cast will promptly submit his or her offer of resignation for the consideration of Midas Gold's Corporate Governance Committee. The committee will make a recommendation to the Board after reviewing the matter as to whether to accept or reject the resignation. In considering the resignation offer, the committee and the Board will consider all factors they deem relevant, and the Board's decision as to accept or reject the resignation offer will be disclosed to the public. A director who offers his or her resignation pursuant to the policy will not participate in any meeting of the Board or the committee at which the resignation offer is considered. The policy would not apply in circumstances involving contested director elections.
Source: http://www.midasgoldcorp.com/