Roscan Gold Corporation Completes Acquisition of Komet Mali SARL and the Adjoining Dabia South Project
Toronto, July 3, 2020 - RosCan Gold Corp. (TSXV: ROS) (FSE: 2OJ) (OTC Pink: RCGCF) ("Roscan" or the "Company") is pleased to announce the completion of its previously announced acquisition of all of the issued and outstanding shares of Komet Mali SARL ("Komet Mali") from Komet Resources Inc. ("Komet") pursuant to a share purchase agreement dated June 15, 2020, among Roscan, Komet and Komet Mali (the "Acquisition").
Komet Mali owns the Dabia South Project, located in Dabia Sud, Mali, comprising 35km2 of concessions with promising gold exploration potential and located adjacent to the Company's property in Kandiole, Mali. Pursuant to the Acquisition, Komet Mali became a wholly owned subsidiary of Roscan Mali SARL, a wholly owned subsidiary of Roscan.
President and CEO Nana Sangmuah stated, "We are very excited about this acquisition that strengthens our discovery potential by adding key exploration targets on a major Regional Trend. One of these targets has a shallow historical estimate which extends to 80m depth. Our exploration Team on the ground are finalizing drill campaigns on some of these targets, which will be incorporated as part of our expanded 45,000 km 2020 work program. We now have approximately 20km of a structural corridor consolidated which sets the stage for systematic exploration to unlock value on the entire belt."
The total consideration for the Acquisition amounted to an aggregate value of CAD$3.2 million, comprised of:
- the payment by Roscan of CAD$1.6 million in cash; and
- the issuance by Roscan of an aggregate of 4,060,336 common shares of the Company ("Shares", and each, a "Share"), each such Share having a deemed issuance value of CAD$0.394, representing the 5-day volume weighted average price of the Shares on the TSX Venture Exchange as of the trading day prior to the closing date of the Acquisition.
The Shares issued pursuant to the Acquisition are subject to a voluntary hold period of 6 months after the closing date. Komet has also entered into a voting trust agreement with Roscan pursuant to which it has agreed to vote the issued Shares in favour of management's recommendations. The Acquisition constitutes an arm's-length transaction and no finder's fees were paid in connection with the Acquisition.
For further information on the Acquisition, please see the press releases of the Company dated May 11, 2020, and June 17, 2020.
About Roscan
RosCan Gold Corp. is a well-financed Canadian gold exploration company focused on the exploration and acquisition of gold properties in West Africa. The Company has assembled a significant land position of 100%-owned permits in an area of producing gold mines (including B2 Gold's Fekola Mine which lies in a contiguous property to the west of Kandiole), and major gold deposits, located both north and south of its Kandiole Project in West Mali.
For further information, please contact:
Andrew J. Ramcharan, P.Eng
Executive Vice President - Corporate Development and Investor Relations
Tel: (416) 572-2295
Email: aramcharan@Roscan.ca
Greg Isenor, P.Geo
Executive Vice-Chairman
Tel: (902) 221-2329
Email: gpisenor@Roscan.ca
Forward-Looking Statements
This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information is characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, and opportunities to differ materially from those expressed or implied by such forward-looking information. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, changes in the state of equity and debt markets, fluctuations in commodity prices, delays in obtaining required regulatory or governmental approvals, and other risks involved in the mineral exploration and development industry, including those risks set out in the Company's management's discussion and analysis as filed under the Company's profile at www.sedar.com. Forward-looking information in this news release is based on the opinions and assumptions of management considered reasonable as of the date hereof, including that all necessary governmental and regulatory approvals will be received as and when expected. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information. The Company disclaims any intention or obligation to update or revise any forward-looking information, other than as required by applicable securities laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/59100