- Maritime Resources (TSXV:MAE), a Canadian gold penny stock, is announcing New Found Gold (TSXV:NFG) as its newest strategic investor
- New Found intends to acquire US$2 million in notes and 15,324,571 note warrants
- Maritime Resources is a gold and base metal explorer active in Quebec and Newfoundland and Labrador
- Maritime Resources (TSXV:MAE) opened with a gain of 14.29 per cent trading at $0.04 per share
New Found Gold is a billion-dollar market cap company developing its 1,662 square kilometre Queensway gold project west of Gander, Newfoundland. The project features several high-grade gold discoveries over a mineralized envelope measuring 4.1 km in strike length by 400 m wide.
New Found is the lead investor in Maritime’s previously announced brokered private placement of non-convertible senior secured notes and common share purchase warrants. The company intends to acquire US$2 million in notes and 15,324,571 note warrants.
Maritime will use a portion of proceeds from the note offering to acquire Point Rousse Mining from Signal Gold.
Pursuant to its investment, New Found and Maritime have signed a non-binding memorandum of understanding (MOU) granting New Found the right to conduct due diligence and exclusivity to negotiate with Maritime regarding a toll milling agreement at Point Rousse’s Pine Cove Mill.
“We are pleased to announce these transactions with New Found and look forward to working with them to study opportunities for toll processing at Pine Cove. The fully permitted Pine Cove site offers enormous flexibility for gold processing. The MOU with New Found illustrates the mining industry’s commitment to minimizing its environmental footprint by utilizing existing infrastructure,” Garett Macdonald, Maritime’s president and CEO, said in a statement.
Maritime expects to close the note offering and its previously announced non-brokered equity offering later Monday.
Maritime Resources is a gold and base metal explorer active in Quebec and Newfoundland and Labrador.
The Canadian gold stock (TSXV:MAE) opened with a gain of 14.29 per cent trading at $0.04 per share.
The material provided in this article is for information only and should not be treated as investment advice. For full disclaimer information, please click here.