Golden Tag Resources Ltd. (TSXV:GOG) agreed to acquire 69,478 hectares La Parrilla Silver Mine Complex in San Jose de la Parrilla, Durango, Mexico from First Majestic Silver Corp. (TSX:FR) for $37.2 million on December 7, 2022. Under the terms, 143.67 million common shares of Golden Tag (?Consideration Shares?), or $20M will be issued and a deferred payment of $13.5M, comprised of $2.7M on the earlier of 18 months post-closing, or upon receipt of certain approvals from the Mexican government, $5.75M when either (a) 5 million ounces of Ag.Eq reserves are declared from the La Parrilla claims, or (b) 22 million ounces of Ag.Eq of measured and indicated resources are declared, from the La Parrilla claims and $5.05M when a new zone is discovered on the La Parrilla claims inclusive of a NI 43-101 resource of 12.5 million ounces of Ag.Eq.

Part of transaction will be financed from private placement which is equivalent to $6.60 million. Transaction is subject to approval of Golden Tag shareholders, completion by the Company of a Private Placement, approval from TSX Venture Exchange (the ?TSXV?) and the Mexican Antitrust Commission. Transaction is expected to close in First half of 2023.

On April 14, 2023 Golden Tag closed previously announced non-brokered private placement of subscription receipts. As of May 30, 2023, Golden Tag Resources has received approval from the Comisión Federal de Competencia Económica on May 25, 2023. Golden Tag and First Majestic Silver have amended the asset purchase agreement to reduce Golden Tag?s minimum required financing to $7.2 million from $9 million.

As of July 19, 2023 The transaction is expected to close in August. McMillan LLP acted as legal advisor of Golden Tag Resources Ltd. National Bank acted as a financial advisor and Bennett Jones LLP acted as legal advisor to First Majestic Silver Corp.