- Mariner Resources (RNR) has signed a deal to acquire Exploits Gold, which would make it the largest landholder in Newfoundland
- Under the terms of the agreement, the company will acquire a 100 per cent stake in Exploits Gold by issuing a total of 18,810,752 common shares to the vendors
- Crest Resources, which holds a 47.84 per cent interest in Exploits Gold, will also receive five million common shares under the transaction
- The company has also applied to change its name to Exploits Discovery Corp., and has appointed Michael Collins as President and CEO
- Mariner Resources (RNR) is currently up 40.48 per cent and is trading at C$0.59 per share
Mariner Resources (RNR) has signed a deal to acquire Exploits Gold, which would make it the largest landholder in Newfoundland.
Exploits Gold owns two projects within the prolific Exploits Subzone of central Newfoundland and Labrador: Mt. Peyton and Jonathan’s Pond. The two properties sit in close proximity to New Found Gold’s Queensway Project, and together consist of 939 mineral claims over a total land package of 234.75 square kilometres.
According to the terms of the deal, Mariner will acquire a 100 per cent interest in the privately-held company by issuing a total of 18,810,752 common shares to the vendors.
A third of these shares will have a mandatory holding period of six months, while the remaining two thirds will have a holding period of 12 months and 18 months, respectively.
An additional 600,000 stock options in Exploits Gold will be converted into stock options in Mariner, exercisable at a price of C$0.15 per share.
Canadian Securities Exchange-listed Crest Resources, which holds a 47.84 per cent stake in Exploits Gold, will receive 5 million common shares in Mariner as part of the transaction.
As such, Crest will own a total of 13,602,500 common shares, representing 25.5 per cent of Exploit’s issued and outstanding securities.
Michael Collins, recently appointed President and CEO of Mariner Resources, said the agreement marks a pivotal point in the company’s efforts to become a premier explorer within the Exploits Subzone camp.
“This acquisition consolidates major prospective historical showings, which have never been drilled. The consolidated land package is ideal for the structurally hosted, epizonal orogenic gold model.
“New government geophysics and fragmented exploration data compiled into one data model show us a better pathway to a gold discovery in the Exploits Subzone,” he added.
In connection with the planned acquisition and the company’s renewed focus on the Exploits Subzone, Mariner has applied to change its name to Exploits Discover Corp., which includes a change of its trading symbol on the Canadian Securities Exchange to “NFLD”.
Mariner Resources (RNR) is currently up 40.48 per cent and is trading at 59 cents per share at 3:49pm EDT.