The original letter agreement provided for a 90 day period during which Grid, working with the
"We are pleased to be proceeding with the mill lease agreement and the positive results of the work completed by the
Certain terms in the original letter agreement have been modified in order to reduce the near-term funding requirements for Grid, while leaving the overall mill lease agreement substantially intact. The terms that were modified were as follows:
- Toll milling agreement terms for the processing of
1911 Gold ores during the lease period have been modified to increase the minimum available processing capacity for gold ores. - The remaining payments to
1911 Gold have been modified to the following:- An equity investment of
C$400,000 , subject to the applicable regulatory approvals. If regulatory approval cannot be obtained, Grid shall make a corresponding cash payment to1911 Gold . C$600,000 lease payment will be paid to1911 Gold byOctober 25, 2023 ($50,000 already paid), with an additional$500,000 to be paid as financial assistance when Grid completes an equity raise of not less thanC$1,000,000 . Financial assistance payments are non-interest bearing but secured by the True North mill, with such security to be released upon termination of either the original letter agreement or, once completed, the Definitive Lease Agreement.- Financial assistance payment of
C$500,000 to1911 Gold's financial security obligations to theProvince of Manitoba (relating to the mine closure plan for the True North complex) for the period endingApril 30, 2024 , with an additionalC$1,000,000 due by the end of 2024 and a finalC$900,000 due by the end of 2025.
- An equity investment of
- With the completion of the 90 day due diligence period, Grid can only terminate the Agreement once it has made a cumulative total of
C$2,250,000 in total payments.
All other terms as described in the
ON BEHALF OF THE BOARD OF DIRECTORS
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
This news release may contain forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or describes a "goal", or variation of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved.
All forward-looking statements reflect the Company's beliefs and assumptions based on information available at the time the statements were made. Actual results or events may differ from those predicted in these forward-looking statements. All of the Company's forward-looking statements are qualified by the assumptions that are stated or inherent in such forward-looking statements, including the assumptions listed below. Although the Company believes that these assumptions are reasonable, this list is not exhaustive of factors that may affect any of the forward-looking statements.
Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. All statements that address expectations or projections about the future, including, but not limited to, statements about exploration plans and the timing and results thereof, are forward-looking statements. Although
All forward-looking statements contained in this news release are given as of the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws.
Neither
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