On April 13, 2020, Barrick, Precipitate Gold (PGC) and certain affiliates of Barrick and PGC entered into an earn-in agreement pursuant to which Barrick has been granted the exclusive right to acquire a 70% interest in PGC’s Pueblo Grande Project in the Dominican Republic on the terms and conditions set out in the Earn-In Agreement.
In connection with the Earn-In Transaction, the company and PGC entered into a subscription agreement dated April 13, 2020 pursuant to which it agreed to acquire, and PGC has agreed to issue to Barrick, 12,713,636 Common Shares from treasury on the terms and conditions set out in the Subscription Agreement at a price of C$0.11 per Subscription Share for an aggregate subscription price of C$1,398,500.
Prior to the Reportable Event, the company did not beneficially own, control or direct any Common Shares. The Subscription Shares represent 13.67% of the outstanding Common Shares.
As a result of the Reportable Event, Barrick beneficially owns 12,713,636 Common Shares, representing 12.02% of the outstanding Common Shares.
The closing of the Subscription is subject to approval of the TSX Venture Exchange.
Read more about gold
The company is acquiring the Subscription Shares for investment purposes.
It may, from time to time, subject to an agreement between itself and PGC, acquire additional Common Shares or other securities of PGC or dispose of some or all of the Common Shares or other securities of PGC that it owns at such time.
Read more about the Pueblo Grande project