A new privately held mineral exploration company focused in West Africa has been created through the asset combination of Avant Minerals and the Côte d’Ivoire assets of TSXV-listed exploration company Orca Gold.
Côte d’Ivoire –The new company, Montage Gold Corp., will initially be owned 60% by Orca and 40% by Avant, prior to the completion of a concurrent non-brokered private placement financing of a minimum of C$7 million by third-party investors.
Upon closing of the combination of assets and financing, which is expected by the end of August 2019, the assets of Montage will include:
- Four permits and nine permit applications in Côte d’Ivoire totaling 4 243 km2;
- Nine permits and two permit applications under earn-in in Burkina Faso totaling 1 128 km2; and
- Cash balance of at least C$11 million.
Investors that partake in the financing will own 22.3% of Montage, with Orca and Avant holding 46.6% and 31.1%, respectively.
In Côte d’Ivoire, Montage will control one of best placed land packages, including the Morondo licence, which currently hosts a 1.2 Moz inferred resource and is strategically centered between Roxgold’s Seguela project 60 km to the south and Barrick/Endeavour’s Mankono joint venture adjacent to the north.
In Burkina Faso, the company will hold a dominant land position on the Sirba Greenstone belt between the Kouri project of Golden Rim and the Samira Hill/Libiri deposit previously mined by Semafo. Avant presently owns 51% in this collection of properties and is earning into 70% from ASX-listed Predictive Discovery.
“The combination with Avant in West Africa provides Orca shareholders with opportunities to benefit from the strategic portfolio of permits and applications assembled by Orca and the portfolio and strong backing of Avant,” says Orca Gold CEO Rick Clark.
For the foreseeable future, the company will focus its efforts in Côte d’Ivoire. The Bira and Bonsiega projects in Burkina Faso will provide the company with longer term upside.
will be the best financed and backed junior explorer in West Africa with a
management team to match,” Clark adds.
Management of Montage will include Hugh Stuart as CEO, Adam Spencer as President, and Glenn Kondo as CFO. The board of Montage will be comprised of four Orca representatives and two Avant representatives, with the Chairman being an Orca appointee.
Montage’s exploration programme to the end of the year will focus on:
- Advancing the Koné prospect in the Morondo permit where the resource shows potential for expansion;
- Continuing exploration on the Bobosso project where Avant have identified a number of drill targets within areas of strong soil anomalism.; and
- Infill sampling on the Badenou soil anomaly in the Korokaha North permit which lies adjacent to Barrick’s Tongon mining lease.