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Be the first with the news that moves the market- CBLT (CBLT) has completed the sale of its 56 per cent interest in the Northshore Gold Property Joint Venture to Omni Commerce
- As consideration for the deal, CBLT received C$350,000 in cash and $1.1 million in common shares, which will be paid out in instalments over the next year
- Omni is also expected to acquire the remaining 44 per cent interest in the joint venture from Balmoral Resources, a subsidiary of Wallbridge Mining
- With the transaction now complete, CBLT has become one fo Omni Commerce’s largest shareholders
- CBLT (CBLT) is currently steady at 4.5 cents per share
CBLT (CBLT) has completed the sale of its 56 per cent interest in the Northshore Gold Property Joint Venture to Omni Commerce.
Under the terms of the deal, which was announced in a letter of intent on April 28 this year, Omni issued a total of C$300,000 in cash to CBLT, along with $1.1 million in common shares which will be paid out in instalments over the next 12 months.
According to today’s announcement, CBLT has also been advised that Omni intends to acquire the remaining 44 per cent stake in the joint venture from Balmoral Resources, a wholly owned subsidiary of Wallbridge Mining.
CBLT said it was supportive of this decision, which consolidates the title under one owner, de-risks the project and offers greater operational efficiencies.
Omni’s purchase of the joint venture stake comes ahead of its planned listing on the Canadian Securities Exchange, along with a name change to ‘Ready, Set, Gold!’.
Peter Clausi, CEO of CBLT, said he believes Omni’s team is doing all the right things to make enhance the company’s value.
“We are happy with our equity position which gives us passive ongoing exposure to gold and to Omni’s development success.
“It also allows us to continue our plan to create shareholder value by continuing with strategic merger and acquisition activity, as with Northshore Gold, and by developing our Canadian mining assets,” he added.
Peter also noted that CBLT intends to undertake a work program at its Big Duck Lake property later this year.
With the Northshore Gold transaction now complete, CBLT has become one of the largest shareholders in Omni Commerce.
CBLT (CBLT) is currently steady at 4.5 cents per share at 12:07pm EDT.
