Skip to main content

Val-d’Or Mining Exercises Option

VAL-D’OR, Québec, Dec. 05, 2019 (GLOBE NEWSWIRE) — Val-d’Or Mining Corporation (“Val-d’Or Mining” or the “Company) (TSX-V:VZZ) is pleased to announce that it has acquired a 100% interest in a group of properties located in the Abitibi Greenstone Belt of North-Eastern Ontario and North-Western Québec (the “Properties”). The Properties were acquired on exercise of the option granted to the Company by Golden Valley Mines Ltd. (the “Optionor”) in accordance with the terms of the amended and restated mining option agreement between the Company and the Optionor dated November 28, 2019. The original mining option agreement was previously announced by news release dated April 18, 2017. 
The option agreement was amended to document, among other things, a waiver of expenditure requirements required in order to maintain the option, acceleration of vesting of the option as well as changes to the buyback provisions of the royalty on Net Smelter Returns granted to the Optionor.As consideration for the option and in accordance with the terms of the option agreement, the Company has agreed to issue to the Optionor an aggregate 16,666,668 common shares of the Company, issuable as to 25% on each of December 31, 2018 (done), December 31, 2019, June 30, 2020 and December 31, 2020. The Properties are subject to a royalty in favour of the Optionor equal to 1.25% of net smelter returns, which is subject to certain partial buyback provisions. The Optionor will also receive 20% of the proceeds of all third party transactions pertaining to the Properties that the Company enters into and announces on or before December 31, 2022.The Optionor is a Canadian corporation  which holds approximately 31%  of the Company’s issued share capital.  The transaction was approved by the Company’s disinterested shareholders at its special meeting held on June 12, 2017.   The amendment to the agreement and the exercise of the option allows the Company to streamline its operations and to enter into its own agreements with other mining and exploration companies. Investors will now have certainty that the Company has earned its stake in the Properties and the Optionor will now own net smelter returns on claims comprising the Properties.About Val-d’Or Mining CorporationVal-d’Or Mining Corporation is a junior natural resource issuer involved in the process of exploring and evaluating its mineral property assets, most of which are situated in the Abitibi Greenstone Belt of NE Ontario and NW Québec. The Company focuses on the generation of new projects (“project generator”) and early-stage exploration. The mineral interests are broad and range from precious and base metals, to industrial and energy minerals. After the initial value creation in 100% or majority-owned properties, the Company seeks partners with the technical expertise and financial resources to conduct more advanced exploration funding of key projects. To complement its current strategic property interests, the Company regularly evaluates new opportunities for staking and/or acquisitions. Outside of its principal regional geographic focus, the Company holds several other properties in Northern Québec (Nunavik) covering different geological environments (Ni-Cu-PGE’s).For additional information, please contact:Glenn J. Mullan
2864 chemin Sullivan
Val-d’Or, Québec J9P 0B9
Tel.: 819-824-2808, x 204
Email: glenn.mullan@goldenvalleymines.com
Forward Looking Statements:This news release contains certain statements that may be deemed “forward-looking statements.  Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur.  Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or realities may differ materially from those in forward looking statements. Forward looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date the statements are made.  Except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

Disclaimer & Cookie Notice

Welcome to GOLDEA services for Professionals

Before you continue, please confirm the following:

Professional advisers only

I am a professional adviser and would like to visit the GOLDEA CAPITAL for Professionals website.

Cookie Notice

We use cookies to improve your experience on our website

Information we collect about your use of Goldea Capital website

Goldea Capital website collects personal data about visitors to its website.

When someone visits our websites, we use a third party service, Google Analytics, to collect standard internet log information (such as IP address and type of browser they’re using) and details of visitor behavior patterns. We do this to allow us to keep track of the number of visitors to the various parts of the sites and understand how our website is used. We do not make any attempt to find out the identities or nature of those visiting our websites. We won’t share your information with any other organizations for marketing, market research or commercial purposes and we don’t pass on your details to other websites.

Use of cookies
Cookies are small text files that are placed on your computer or other device by websites that you visit. They are widely used to make websites work, or work more efficiently, as well as to provide information to the owners of the site.