Chimata Gold firms up Troilus North acquisition
2017-09-27 10:17 ET – News Release
Mr. Robert Rosner reports
CHIMATA GOLD CORP EXECUTES A BINDING LETTER OF INTENT TO ACQUIRE 100% INTEREST IN TROILUS NORTH MINING PROPERTY
Chimata Gold Corp. has entered into a binding letter of intent with Greg Exploration Inc., a privately held company incorporated under the Canadian Business Corporation Act based in Quebec. As per the terms of the LOI, Chimata is acquiring the Troilus North mining assets currently held by Greg and its principals by way of concluding a property acquisition agreement. The assets consist of one block of 139 contiguous claims totalling 7,502.6 hectares located in NTS sheet 32O01, 160 kilometres north of town of Chibougamau and bordering the former Troilus mine property.
The expected total purchase price is $250,000 with an initial payment of $25,000 due upon signing of a definitive property acquisition agreement, $25,000 due within 90 days following signing of the agreement, $50,000 due on or before Sept. 30, 2018, $50,000 due on or before March 31, 2019, $50,000 due on or before Sept. 30, 2019, and $50,000 due on or before March 31, 2020. In addition, Chimata will grant a 1.5-per-cent net smelter royalty to Greg for the assets, 0.5 per cent of which can be repurchased by Chimata for $500,000.
The acquisition of the assets by Chimata is subject to the satisfaction of certain conditions, including, but not limited to, the completion of a satisfactory due diligence of the assets by Chimata, the conclusion of a definitive property acquisition agreement and regulatory approval.
Appointment of new chief executive officer and chairman of the board
The company announces that it has accepted the resignation of Curt Huber as chief executive officer, president and director of the company, and has appointed Richard Groome as interim chief executive officer and president in his stead. Mr. Groome has also joined the board of directors and will act in the capacity as chairman.
Mr. Groome is a highly successful and influential entrepreneur and executive who has been active in the financial sector for over 30 years. He has actively managed or participated in over 400 corporate financings for small-cap and medium-sized growth companies representing over $4-billion in investment capital. Mr. Groome has acted, and continues to act, as an officer and director of numerous private and public companies in a variety of business sectors. He is also a former director of the CDNX, which was the predecessor of the TSX Venture Exchange.
Grant of incentive stock options
The company announces the granting of 1.4 million incentive stock options to officers, directors and consultants of the company. The options expire five years from the date of issue, and each option will allow the holder to purchase one common share of the company at an exercise price of 15 cents per share.
The foregoing is subject to the standard regulatory and exchange approvals where applicable.
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