Goldplat plc Completion Of Anumso Gold Project Earn-in Option Agreement
15 September 2016 - 4:00PM
UK Regulatory
TIDMGDP
Goldplat plc / Ticker: GDP / Index: AIM / Sector: Mining & Exploration
15 September 2016
Goldplat plc ('Goldplat' or 'the Company')
Completion of Anumso Gold Project Earn-in Option Agreement
Goldplat plc ("Goldplat" or "the Company"), the AIM quoted African gold
producer, is pleased to announce that further to the announcement of 14
July 2016, on 14 September 2016 it has executed an earn-in option
agreement (the "Agreement") with Ashanti Gold Corp. ("Ashanti")
(formerly Gulf Shore Resources Ltd) which gives Ashanti the option for a
US$3 million earn-in to Goldplat's 90% owned Anumso Gold Project in
Ghana (the "Project").
Anumso Gold Project
Goldplat has a 90% interest in Anumso Gold Limited ("Anumso"), which is
the holder of a ten-year renewable mining lease for gold and associated
minerals covering an area of 29 sq km and located in the prospective
Amansie East and Asante Akim South Districts of the Ashanti Region of
the Republic of Ghana. The Project has a current JORC compliant resource
of 166,865 oz of gold at 2.04g/t. In the year to 30 June 2016, the loss
attributable to the Project was GBP5,539.
Terms of the Agreement
The Agreement provides Ashanti with the exclusive option to earn 75% of
Goldplat's interest in Anumso (67.5% of the overall project interest) in
two instalments by expending an aggregate of US$3.0 million on
exploration on the Project.
The Agreement provides for two option periods. During the first 18
months of the Agreement (the "Initial Option Period") Ashanti will be
given the option to earn 51% of Goldplat's interest in the Project by
expending US$1.5 million on exploration on the Project (the "Initial
Option"). Ashanti has the unilateral power to terminate the Agreement
within the first 6 months of the Initial Option Period, and expenditure
on the Project during this period will be at its sole discretion. Should
Ashanti not exercise its right to terminate the Agreement during the
first six months, it will be obliged to expend US$1.5 million on Project
expenditure during the Initial Option Period or pay the deficiency to
Goldplat. Should Ashanti meet the expenditure condition within the
Initial Option Period, it will be entitled immediately to exercise its
option and receive an initial 51% of Goldplat's interest in the Project
(45.9% of the overall Project licence).
Conditional upon exercising the Initial Option, Ashanti will be entitled
to give Goldplat notice that it intends to invest further in the project,
which will trigger a second period of 12 months (the "Subsequent Option
Period") in which it will be given the option to earn an additional 24%
of Goldplat's interest by expending a further US$1.5 million on
exploration on the Project during the Subsequent Option Period or by
paying the deficiency to Goldplat (the "Subsequent Option").
Expenditure during the Subsequent Option Period will be at Ashanti's
sole discretion and will not be reimbursable if Ashanti does not
exercise the Subsequent Option. Should Ashanti meet the expenditure
condition within the Subsequent Option Period, it will be entitled
immediately to exercise its option and receive a further 24% of
Goldplat's interest in Anumso (21.6% of the overall Project licence).
Ashanti will be the operator of the exploration and development
programme during the option periods, with a Joint Technical Committee
being established to agree upon the work programmes. If Ashanti does not
give Goldplat notice to trigger the Subsequent Option Period, or once
the Subsequent Option has been exercised, a Mining Company will be
formed, under a Joint Venture Agreement and the mining licence will be
assigned to this Company. Both parties will contribute pro-rata to
further development with either non-contributing party being diluted.
If either party is diluted to 10%, this interest will be converted into
a 1.5% Net Smelter Return ("NSR"), which can be bought out by the other
party for US$100,000 per 0.1% NSR, for an aggregate of US$1.5 million.
Gerard Kisbey-Green, CEO of Goldplat commented: "I am very pleased to be
able to announce a transaction with Ashanti. Goldplat has not been able
to make capital available for development of this project over the past
few years. This Agreement will allow the Company to retain an interest
in the developments of the Project with a competent partner, in Ashanti,
committing capital, operating and enhancing the value of the Project."
** ENDS **
For further information visit www.goldplat.com, follow on Twitter
@GoldPlatPlc or contact:
Gerard Kisbey-Green CEO Goldplat plc Tel: +27 (71) 8915775
Colin Aaronson / Jen Grant Thornton UK LLP Tel: +44 (0) 20 7383 5100
Clarke / Daniel Bush (Nominated Adviser)
Andrew Raca / Justin VSA Capital Limited Tel: +44 (0) 20 3005 5000
McKeegan (Broker)
Charlotte Page / Susie St Brides Partners Ltd Tel: +44 (0) 20 7236 1177
Geliher
The information contained within this announcement is considered to be
inside information, for the purposes of Article 7 of EU Regulation
596/2014, prior to its release.
This announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the information
contained therein.
Source: Goldplat plc via Globenewswire
(END) Dow Jones Newswires
September 15, 2016 02:00 ET (06:00 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
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