- Pure Gold Mining Inc. (PGM) secures US$6 million in financing, provides mine operations updates, and announces management change
- Mark O’Dea is assuming the role of interim President and CEO
- Operational turnaround is underway with positive site-level cash flow expected by Q3
- 60,000 metres of definition drilling reinforces the six-month mine plan
- Pure Gold is on track to publish an updated life of mine plan in Q4
- Pure Gold Mining Inc. (PGM) is up 11.84 per cent trading at $0.21 per share as of 1:02 p.m. ET
Pure Gold Mining (PGM) has signed a US$6 million financial agreement with Sprott Resource Lending.
The company has also provided mining operation updates and announced changes to the management team.
Sprott has conditionally agreed to provide Pure Gold with a non-revolving credit facility for up to US$6 million and waive any existing defaults under the credit and production payment agreements until May 15th.
Pure Gold has agreed to immediately pursue an equity financing for net proceeds of at least US$5 million to be received by the same deadline.
Pure Gold Director, Mark O’Deam will assume the role of interim President and CEO effective immediately. Troy Fierro has stepped down due to personal health issues but will remain a director of the company.
Pure Gold’s new operational leadership team has designed an operational turnaround plan for the Pure Gold Mine and is currently accelerating it. The company will fast-track the operation to a state of positive site-level cash flow by Q3.
Ramp-up of throughput will continue to nameplate capacity (800 tonnes per day) by the second half of 2022 and increase thereafter. Pure Gold will also define the life of mine plan and deliver an updated technical report in Q4.
In addition, a new six-month mine plan is underway, which sees production growing steadily from April through September underpinned by 60,000 metres of definition drilling completed since November.
Pure Gold anticipates it will need additional capital to transition the company to a state of positive site-level cash flow, complete the updated life of mine plan, and update its technical report.
Pure Gold Mining Inc. (PGM) is up 11.84 per cent trading at $0.21 per share as of 1:02 p.m. ET.
