Orca Gold reports the transaction to combine Orca’s Côte d’Ivoire assets with the assets of Avant Minerals, including cash of CAD$3.8 million has successfully closed.
The combined assets have been spun out into a new private mineral exploration company named Montage Gold.
At the same time, with the closing of the transaction, Montage closed a non-brokered private placement financing and as a result is well-funded with cash in excess of CAD$12 million.
The principal shareholders of Montage following these successful events are:
|3rd Party Placees||25%|
The Board of Directors of Montage will include Richard Clark, Hugh Stuart, David Field and Kevin Ross as nominees of Orca Gold and two nominees from Avant including Adam Spencer.
Montage’s management team will include Richard Clark as Chairman, Hugh Stuart as CEO, Adam Spencer as President, Glenn Kondo as CFO and Kathy Love as Corporate Secretary.
Orca Gold views its ownership interest in Montage as a strategic investment.
It provides exposure for the company’s shareholders to an impressive property/resources portfolio in Côte d’Ivoire and Burkina Faso as well as a solid, well-funded, treasury independent of Orca Gold.
Montage intends to immediately commence and focus work on its 100%-owned Morondo project in Côte d’Ivoire with an aim to rapidly increase the resource inventory to +2 Moz of gold.
Concurrently, Montage’s management and exploration team will assess and prioritize Montage’s extensive property portfolio for evaluation.
With the successful creation and financing of Montage completed, Orca’s clear priority going forward is the financing and development of the Company’s build-ready Block 14 Gold Project in the Republic of the Sudan.
Commenting on the Montage spin-out and financing, Richard Clark, CEO of Orca Gold says:
“We are very excited with the creation of Montage in collaboration with Avant and its major shareholders.
“The success of the private placement supports our business decision and highlights the prospectivity of Montage’s projects in West Africa.
“With Hugh Stuart at the helm, we are confident that Montage will quickly increase its resource base on one, if not more, of its properties towards a near-term development assessment.
“We will closely monitor the exploration progress of Montage and market conditions towards capitalizing on the success of Montage to the benefit of all Orca Gold shareholders.”