Calico stung by Rockstar also. Pattern developing?
I wonder what Dennis Weasels been trading/ shorting in his personal acct?
Friday, February 07, 2014
Calico (V.CKB) plunges 32% as sale of Grassy Mountain gold project falls through
Seabridge Gold Inc. ( TSX: T.SEA, Stock Forum) said Tuesday a deal to sell its 10% net profits interest in the Grassy Mountain gold project in Oregon to Rockstar Resources Inc. for US$7.5 million will not proceed.
The sale was conditional on the concurrent completion of the sale to Rockstar Resources by Calico Resources Corp. ( TSX: V.CKB, Stock Forum) of its subsidiary Calico Resources USA Corp., the owner of the Grassy Mountain Project.
But Calico has not received the required down payment from Rockstar, Seabridge said in a press release.
The Grassy Mountain project is estimated to host a global resource (measured and indicated) of 1.6 million ounces, including 750,000 ounces at an average grade of 9.45 grams per tonne.
Under the proposed sale to Rockstar, Seabridge was scheduled to receive a total of US$7.5 million for the discharge of its 10% net profits interest and related put option, with US$5 million to be paid by Rockstar and US$2.5 million to be paid by Calico.
Calico shares were down 31.6% Tuesday to 13 cents, leaving a market cap of $6.7 million, based on 51.7 million shares outstanding. The 52-week range is 26 cents and 7 cents.
Seabridge rose 2.9% to $8.99, leaving a market cap of $423.3 million, based on 47.1 million shares outstanding. The 52-week range is $18.11 and $7.09.
Seabridge is Calico’s largest shareholder, with a 19.5% interest in the company.
Read more at stockhouse.com
|
