Altamira Gold Corp.'s (TSXV: ALTA) (FSE: T6UP) (USA: EQTRF), ('Altamira' or the 'Company') wishes to provide an update regarding the previously announced definitive gold forward purchase agreement (the 'Agreement') with Metalstream Ltd. ('Metalstream') for the development of the Cajueiro gold project in Brazil.
On 27th April 2020, Altamira announced that it had signed a deal with Metalstream for a US$6M gold forward agreement to finance the construction of a small mine and 1000t/d processing plant at its Cajueiro gold project located in the state of Mato Grosso in eastern Brazil. The original agreement provided for two payments including US$1M on 23rd June 2020 and US$5M 60 days thereafter.
On 18th June 2020, the Company agreed to extend the the time for making that initial payment until 14th July with the second payment due date extended until 14th September.
On 15th July 2020, the Company announced that it had been advised by Metalstream that its financing was expected to close by the end of July 2020 and that Metalstream's first payment to the Company would be made shortly thereafter. Altamira did not formally agree to any further extensions for the Metalstream payments beyond 14th July and 14th September. To date Metalstream has failed to make any of its contractural payments to Altamira.
Metalstream is currently in breach of its obligations under the Agreement, and, in addition to other remedies, Altamira may terminate the Agreement. At this time Altamira is considering other financing options in the event that it decides to terminate the Agreement.
Michael Bennett, President and CEO stated, 'Whilst the failure of Metalstream to close on their planned financing and meet their obligations with respect to our financing agreement, is obviously very disappointing, we have not yet made a decision to terminate the Agreement. However, the ability to terminate the Agreement presents an opportunity for Altamira to explore a number of alternative unsolicited offers of financing. Management has made significant advances in completing the necessary engineering and design work at Cajueiro over the last few months, and is confident that these advances will increase the likelihood that the Company will be able to secure funding for this project.'
About Altamira Gold Corp.
The Company is focused on the exploration and development of gold projects within western central Brazil. The Company holds 9 projects comprising approximately 280,000 hectares, within the prolific Juruena gold belt which historically produced an estimated 7 to 10Moz of placer gold. The Company's advanced Cajueiro project has NI 43-101 resources of 5.66Mt @ 1.02 g/t gold for a total of 185,000 oz in the Indicated Resource category and 12.66Mt @ 1.26 g/t gold for a total of 515,000oz in the Inferred Resource category.
Contact:
Michael Bennett
Tel: 604.676.5660
Email: info@altamiragold.com
Web: www.altamiragold.com
Forward-Looking Statements
Statements in this document which are not purely historical are forward-looking statements, including any statements regarding beliefs, plans, expectations or intentions regarding the future. It is important to note that actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements.
ALTAMIRA GOLD CORP. 
