IDM Mining (IDM-V) Signs Definitive Agreement to Sell Yukon Portfolio to StrikePoint Gold (SKP-V)
Jan 19, '17 - NR
IDM Mining is pleased to announce that it has entered into a definitive agreement (the "Agreement") to sell its portfolio of properties located in the Yukon to StrikePoint Gold in exchange for consideration valued at $4,200,000.
Under the terms of the Agreement, the Company will receive: $150,000 in cash and 10.5 million common shares of StrikePoint valued at $0.385 per share. In addition, StrikePoint will be required to incur $1,500,000 in exploration expenditures on the Yukon Properties by December 31, 2017 and to pay any deficiency to IDM in cash.
Pursuant to the Agreement, the Company will also be granted certain anti-dilution rights, the right to appoint two members of StrikePoint's board of directors and a right of first refusal over any proposed disposition of the Yukon Properties during the two year period following closing.
Closing of the transaction is to occur on or before February 28, 2017 and is subject to receipt of regulatory approvals, third party consents and approval of StrikePoint's shareholders as the transaction will result in the creation of a new control block position being held by IDM.
Yukon Properties
The Yukon portfolio consists of 14,037 claims covering 26 properties in 46 claim groups totaling approximately 282,000 hectares (the "Properties"). The Properties cover multiple tectonic and metallogenic environments as well as a variety of mineral deposit styles common in Yukon. The Properties were previously held by Ryan Gold Corp. ("Ryan Gold") and its subsidiaries, and received significant exploration work, with approximately $25 million (as disclosed in Ryan Gold's 2014 year end MD&A) in expenditures incurred. The Properties have limited holding costs. Previous work by Ryan Gold included significant exploration drill programs on two of the Properties, with tens of thousands of rock and soil samples collected during grass-roots exploration programs in several districts throughout Yukon. Additionally, geophysical surveys and geologic mapping programs have outlined many anomalous areas that have not received follow-up work.
Additional information is available at www.idmmining.com.
QUALIFIED PERSON
Rob McLeod, P.Geo, President and CEO of IDM Mining Ltd. has reviewed and approved the technical content of this release.
ABOUT IDM MINING LTD.
IDM Mining Ltd. is a mineral exploration and development company based in Vancouver, BC, Canada. The Company's current exploration and development activities are focused on precious metals in British Columbia and Yukon, with a primary focus on the high-grade, underground Red Mountain Gold Project, which is advancing through the BC and Canadian environmental assessment processes.
ON BEHALF OF THE BOARD of IDM Mining Ltd.
Robert McLeod, President, CEO and Director
IDM Mining Ltd.
Robert McLeod
President, CEO and Director
604-681-5672 direct
604-617-0616 cell
rm@idmmining.com
Investor Relations:
Shobana Thaya
st@idmmining.com
416-807-1009
Alex Horsley
ah@idmmining.com
604 618-3058 |
