Golden Predator Mining Corp. is pleased to announce that it has entered into a Mineral Purchase and Option Assignment Agreement, with Taku Gold Corp. pursuant to which the Company has agreed sell to Taku its 100% interest in several non-core assets including the Chopin Project, the Korat Project and the Lucky Joe Project and its 100% interest in certain 40 Mile area of interest claims.
The Company has also agreed to assign and transfer all of the Company's interest in an agreement pursuant to which the Company holds the right to acquire a 100% interest in the 40 Mile Project subject to a 2% net smelter return royalty. The properties are all located in the White Gold District in Canada's Yukon. Golden Predator is focused on the 3 Aces Project in Southeastern Yukon and the sale of the White Gold assets provides an opportunity to realize value from the non-core assets held by the Company.
Under the terms of the Agreement, Taku agreed to issue 3,500,000 common shares, representing 9.9% of Taku's issued and outstanding shares (35,046,515 common shares), and grant net smelter return royalties on the properties to the Company as consideration for the acquisition. In particular, the Company will retain net smelter return royalties of 1.0% on the Chopin claims, 1.0% on the Korat claims, 1.5% on the Lucky Joe claims and 0.5% on the 40 Mile claims (including the 40 Mile area of interest claims).
To view the properties please visit: http://goldenpredator.com/_resources/maps/GPY_20170714_WhitegoldDistrict.pdf.
The 40 Mile Project consists of 65 quartz mining claims and is road accessible via the Top of the World Highway 80 kilometers northwest of Dawson City.
The Lucky Joe Project consists of 548 quartz mining claims located 50 kilometers south of Dawson in the heart of the White Gold District and is accessible by helicopter.
The Korat Project consists of nine quartz mining claims surrounded by Comstock Metals QV property. The claims are located approximately 8 km north of Comstock's VG deposit and 20 km north of White Gold Corp's Golden Saddle Deposit.
The Chopin Project consist of 36 quartz mining claims located approximately 90 km northwest of Carmacks in the Dawson Range of central Yukon.
The White Gold District has shown a rapid evolution from the initial Golden Saddle discovery in 2009 to the acquisition of Kaminak Gold Corp. in May 2016 by Goldcorp Inc. Golden Predator is focused on advancing its 3 Aces Project which includes the 3 Aces, Reef, and Hy Jay properties consisting of 1,734 claims covering 357 km² (35,700 hectares) in southeast Yukon. The 3 Aces Project includes the two highest grade surface discoveries to date in the Yukon and has over 25 mineralized veins that have been discovered through sampling, trenching, roadwork and drilling over 762 m (2,500 feet) of elevation within the Central Core area.
Pursuant to the Agreement, the Company acquired 3,500,000 common shares of Taku. Immediately prior to this acquisition the Company owned 1,750,000 common shares of Taku, representing approximately 5.55% of Taku, and 1,750,000 warrants of Taku. Following the acquisition, the Company owns an aggregate of 5,250,000 common shares of Taku, representing approximately 14.98% of the issued and outstanding common shares of Taku. The Company would own 7,000,000 common shares of Taku, representing approximately 19.02% on a partially diluted basis, assuming the exercise of 1,750,000 warrants. The foregoing acquisition has resulted in an approximate 9.43% change in the Company's ownership on a non-diluted basis.
Pursuant the Agreement, the Company was issued the foregoing securities at a price of $0.195 representing an aggregate value of $682,500 in consideration for the properties. The securities acquired will be held for investment purposes. The Company may, depending on market and other conditions, increase or decrease its beneficial ownership of Taku's securities, whether in the open market, by privately negotiated agreements or otherwise, subject to a number of factors, including general market conditions and other available investment and business opportunities. This information respecting the Company's share acquisition is issued pursuant to Multilateral Instrument 62-104 and a report respecting the above acquisition will be filed with the applicable securities commissions using the Canadian System for Electronic Document Analysis and Retrieval (SEDAR) and will be available for viewing at www.sedar.com.