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CGC.t / Caldas= now ARIS Gold / , 45% owned by GCM.t

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CGC.t / Caldas= ARIS Gold, 45% owned by GCM.t (was 57.5% 53.5%)

( Also trading on the OTCQX® Best Market in the United States under the symbol “ALLXF”.)

Update: CGC group: YTD.: 10dCGC: $2.25 (35.3%, pv45.4%), GCM: $6.37, wtB: $4.20 - @ 12.16.2020

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Old: CGC: $2.85 (45.4%), GCM: $6.28, wtB: $4.15 - @ 9.25.2020

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About Caldas Gold Corp.

Caldas Gold is a Canadian junior mining company, currently advancing a major expansion and modernization of its underground mining operations at its Marmato project in the department of Caldas, Colombia. Caldas Gold also owns 100 per cent of the Juby project, an advanced exploration-stage gold project located within the Shining Tree area in the southern part of the Abitibi greenstone belt about 100 kilometres south-southeast of the Timmins gold camp.

GCG.t / Caldas Gold ... 4yr: 2yr: 1yr: 6mo: 10d / Last: C$2.97 +$0.56, +23.24%

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(Old posting from GCM thread, Dated July 22nd):

Market is absorbing Caldas / CGC placement shares well

Placement was at C$2.25, including half wts. with strike price at $2.75... worth maybe 25 cents per CGC share (ie $0.50 per wt.)

Tuesday: C$2.65 + 0.24, +9.96%, volume: 56,060 only !

  CGC vs. GCM... update :

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News

2020-07-22 07:39 C:CGC 2.65 News Release Caldas Gold increases placement to $50-million
2020-07-17 07:36 C:CGC 2.35 News Release Caldas Gold produces 3,851 oz Au in Q2

CALDAS GOLD ANNOUNCES BOUGHT DEAL PRIVATE PLACEMENT OF SPECIAL WARRANTS INCREASED TO CA$50 MILLION

In connection with Caldas Gold Corp.'s previously announced bought-deal private placement of special warrants, Scotiabank and Canaccord Genuity Corp., acting as co-lead underwriters and on behalf of a syndicate of underwriters, have exercised their option to purchase an additional 2,222,222 special warrants at an issue price of $2.25 per special warrant for additional gross proceeds of approximately $5-million, bringing the aggregate gross proceeds of the offering to $50-million.

Serafino Iacono, chairman and chief executive officer of Caldas Gold, commented: "We are very pleased with the success of the offering and interest in Caldas Gold's equity, including Wheaton Precious Metals Corp. who, through their wholly owned subsidiary, Wheaton Precious Metals International Ltd., are also providing $110-million (U.S.) through a streaming transaction as part of the funding to build Colombia's next major gold mine at our Marmato project. In light of this offering, we now anticipate raising an aggregate of up to $115-million (U.S.) in the previously announced offering of units consisting of senior secured gold-linked notes and common share purchase warrants."

Caldas Gold also announced that Gran Colombia Gold Corp., the company's principal shareholder, has agreed to purchase 8,888,889 special warrants in the offering, for an aggregate subscription of approximately $20-million, to preserve its equity interest above 50 per cent. Upon the exercise or deemed exercise of the special warrants, Gran Colombia will have an approximately 53.6-per-cent equity interest in the issued and outstanding shares of Caldas Gold.

. . . Caldas Gold will use commercially reasonable efforts to obtain a receipt for a short-form prospectus on or prior to Sept. 21, 2020 (DONE!), to qualify the common shares and warrants underlying the special warrants. Until a receipt issued for the prospectus, the special warrants (and any common shares and warrants issued on exercise thereof) will be subject to a hold period under applicable Canadian securities laws expiring on the date that is four months and a day following the closing date.

===

About Gran Colombia Gold Corp.

Gran Colombia is a Canadian-based mid-tier gold producer with its primary focus in Colombia where it is currently the largest underground gold and silver producer with several mines in operation at its high-grade Segovia Operations. Gran Colombia owns approximately 57.5% of Caldas Gold Corp. (TSX-V: CGC; OTCQX: ALLXF), a Canadian mining company currently advancing a major expansion and modernization of its underground mining operations at its Marmato Project in Colombia. Gran Colombia's project pipeline includes its Zancudo Project in Colombia together with an approximately 20% equity interest in Gold X Mining Corp. (TSXV: GLDX) (Guyana, Toroparu) and an approximately 26% equity interest in Western Atlas Resources Inc. ("Western Atlas") (TSX-V: WA) (Nunavut {ᑁ –} Meadowbank).

CALDAS website: https://caldasgold.ca/

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TERMS of two placements: (105k upside)*

+ CGC Shares: 2,222,222 special warrants sold at an issue price of $2.25

2,222,222 new shares + 1,111,111 new warrants, with strike price at $2.75. Expiry: until July 29, 2025. Caldas Gold may accelerate the expiry date of the Warrants after July 29, 2023 in the event that the closing price of the Common Shares on the TSX Venture Exchange (or such other exchange on which the Common Shares may principally trade at such time) is greater than CA$2.75 per share for a period of 20 consecutive trading days

+ CGC Gold-linked Debs: $83.1 Million with 200 wts (at C$2.75 strike) per $1,000 Face / so US$100k = 20,000 wts

GOLD LINKED INTEREST could be over 10% p.a:

The CGC Debs are really interesting - and I own a bunch:  They have monthly interest payments calculated at 7.5% per annum.  So: US$100k faces receives (a minimum of) $7500/12= $625 monthly.  But there is an interesting add-in feature, which may/will push up returns if Gold exceeds $1400 an ounce.  CGC will place gold ounces in a Trust acct. and sell it from time to time.  If the price exceeds $1400,  interest payments will be topped up.  Example: if Gold price received is $2000, then rate paid will be: 7.5% x (2000/1400): 10.71%, and $625 x (2000/1400): $893. The top-up amount will be paid on a quarterly basis

83,066 subscription receipts of the Company were sold pursuant to the Offering, at a price of US$1,000 per Subscription Receipt.

  • The Notes bear interest at 7.5% per annum, paid monthly. The first monthly payment following the Conversion Event will be equal to the normal monthly interest payment, plus a fee equal to the amount of interest that would have been paid on each Note had interest accrued thereon from the Closing Date.
  • A portion of the gross proceeds of the Offering (approximately US$12.3 million) will be placed into an escrow account (the “Pre-Expansion Interest Account”) to fund the first two years of interest and pre-Note issuance fee payable to holders while the Marmato Project is under expansion.
  • The Company has agreed to pay a floor price of US$1,400 per ounce of gold as a minimum price (the “Floor Price”) to be realized in calculating the value of the gold in the Gold Trust Account (as defined below); the Company has also agreed to use commercially reasonable efforts to hedge the Floor Price on a rolling four quarters basis.

> https://caldasgold.ca/news-and-investors/press-releases/press-release-details/2020/Caldas-Gold-Announces-Closing-of-US83-Million-Private-Placement-of-Subscription-Receipts/default.aspx

*(note: s.30K + w.15k + w.60k = 105k upside)

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Second Quarter and First Half 2020 Highlights

  • Caldas Gold continued to operate its Marmato mine, albeit at a reduced production rate compared to normal, despite the challenges associated with the COVID-19 national quarantine in Colombia during the second quarter of 2020. Caldas Gold also supported the local communities, providing medical equipment, supplies and sanitation kits to the local hospitals and groceries to families who have been economically affected by the COVID-19 crisis.
     
  • Production in the second quarter of 2020 reflected limitations on the Company’s workforce due to the COVID-19 quarantine, totalling 3,851 ounces of gold, down 38% from the second quarter last year. For the first half of 2020, the Company produced a total of 9,752 ounces of gold and 14,117 ounces of silver compared with 12,472 ounces of gold and 19,917 ounces of silver in the first half last year. With another 1,653 ounces of gold produced in July, up 15% over June, Caldas Gold has adjusted its annual production guidance for 2020 to a range of 23,000 to 26,000 ounces of gold.
     
  • Revenue of $6.4 million in the second quarter of 2020, about 26% lower than the second quarter last year, reflected the COVID-19 impact on production that was somewhat mitigated by the 31% year-over-year improvement in spot gold prices which increased the Company’s realized gold price to an average of $1,691 per ounce sold. For the first half of 2020, revenue amounted to $16.9 million compared with $15.8 million in the first half last year.
     
  • Total cash costs (1) per ounce of $1,371 per ounce in the second quarter of 2020, up from $1,095 per ounce in the second quarter last year,

> MORE: https://caldasgold.ca/news-and-investors/press-releases/press-release-details/2020/Caldas-Gold-Reports-Second-Quarter-and-First-Half-2020-Results/

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BIG MOVE! +23%

Crazy move yesterday on No News (I can find so far)... CGC/ Caldas up 23%

As CGC said several days earlier: "we have successfully raised the funds we need to build Colombia’s next major gold mine.”

xx

(as I said on a Viber chat):

2.97 +0.56 23.2% / 239.3k vol.  My 2nd largest holding. So Wow! 

Bought not long ago at C$2.25, in a package with Free Warrants.  Also got some wts by purchasing CGC. debentures

(For those who are on the recent Meetup call, this company is majority owned by GCM.t, which I mentioned on the call. 

GCM was also up: 6.24 +0.19,  3.1%)

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GCM looks too cheap versus CGC, at: $6.24 / $2.97 = r-210%, inverted, CGC high @ 48%

Gran Colombia related Companies & Enterprise Value of Deposit - "4/16/2020 framework": @ 9/08/2020

Company —————  (symbol) $ Price: shsOS: MktCap. : Gcm%: $-Value  (%GCM): 02/24: vs. Old Peak Val.

Caldas Gold Corp.    (CGC.t. ) : C$2.97: 106.M: $314.8M: x74% : $233.0M: (61.4%): C$2.00: $212.0M, $157M
Gold X Mining Corp. (GLDX.v): C$3.81: 58.9M: $224.4M: x21% : $47.12M: (12.4%): C$2.34: $137.8M, $  29M
Western Atlas Res.  (WA.v.   ) : C$0.12: 80.0M: $    9.6M: x20% : $.  1.92M:  ( 0.5%): C$.085:  $ 6.80M, $ 1.4M
===: Three GCM co’s ====== :  =====:  =====:  $548.8M: ==== : $282.0M: (74.3%) =====> : ======> $187M (44% of $422M@$6)
Gran Colombia Gold (GCM.t): C$6.24: 60.8M : $379.4M: ==== : $282.0M: (74.3%): > $1944 Gold (24%)
--------- vs. 4/16/2020 (GCM.t): C$5.70: 60.8M : $346.6M: ==== : ======= : (100.%):
--------- vs. 7/31/2020 (GCM.t): C$7.10: 60.8M : $431.7M: ==== :  $253.9M: (58.4%): > $1968 Gold (35%)

Enterprise Value of the Segovia deposit: @$6.24, $1943 Gold (24%) at 9.8.20
Market Cap: C$379.4M: GCM.t @ $6.24
Fully Diluted C$507.0M: 88.7M x$6.24=C$553.5M -Cash inflow, exer. ($46.5M)
Compare:
Cash, est.   : C$110.3M:
Three co’s  : C$282.0M: (CGC, GLDX, WA, above)
Debt — —   : ( C$83.5M): at Apr.2020
Abv.Items :  C$308.8M: (60.9%)
Ent.Value :  C$198.2M:  39.1% /C$1.324 =
======== : US$149.7 M / $1943 -1000 Cost: /$943= 158.7k Oz, prev: 233k, 298k, 184k Oz
> 158.7k Oz. vs. 670k oz reported Reserves (23.7%)

Compare: TPRFF to GDXJ

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Compare: GCM to CGC

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==

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GRAN COLOMBIA REPORTS AUGUST 2020 GOLD PRODUCTION OF 20,644 OUNCES, UP 14% OVER LAST MONTH

Gran Colombia Gold Corp. produced a total of 20,644 ounces of gold in August, 2020, up 14 per cent over last month's production. This brings the total for the first two months of the third quarter of 2020 to 38,755 ounces, up 5% over the same two-month period last year. Gran Colombia's total gold production for the first eight months of 2020 of 143,230 ounces, compared with a total of 155,359 ounces in the first eight months of 2019, reflects the impact of COVID-19 on its mining operations predominantly in the second quarter of this year. The Company continues to expect its 2020 annual production will range between 218,000 and 226,000 ounces of gold.

Lombardo Paredes, Chief Executive Officer of Gran Colombia, commenting on the Company's latest production results, said, "We are pleased with the improvement in our operating results in August. Segovia continues to run steadily and at Marmato, we are beginning to see the benefit of our mine optimization work in the Upper Zone mine on our production results in August now that we have a full complement of workers available to us. We remain vigilant in our COVID-19 protocols to protect the safety of our workers and we are confident that we will meet our production guidance for the year."

Gran Colombia processed an average of 1,293 tonnes per day ("tpd") in August 2020 at its Segovia Operations, up from 1,155 tpd last month, with an average head grade of 15.4 g/t. This resulted in 17,901 ounces of gold production in August bringing the total for the first two months of the third quarter of 2020 to 34,359 ounces, up 5% over the same two-month period last year primarily attributable to 7% higher head grades. For the first eight months of 2020, the Segovia Operations have processed an average of 1,242 tpd at an average head grade of 14.7 g/t compared with an average of 1,173 tpd processed during the first eight months last year at an average head grade of 16.9 g/t. Segovia's total gold production for the first eight months of 2020 amounted to 129,082 ounces compared with 138,850 ounces in the first eight months last year and reflects the impact of COVID-19 on its operations from late March through mid-April.

At Caldas Gold Corp.'s Marmato mine, operations benefitted in August 2020 from an increased availability of workers and the implementation of action plans to begin to improve mining practices to reduce dilution as outlined in Caldas Gold's recent pre-feasibility technical report for the mine expansion at its Marmato Project. As such, Caldas Gold saw an increase in its daily processing rate to an average of 1,034 tpd in August, up about 23% from last month, with an average head grade of 3.0 g/t, up from 2.2 g/t last month... This brings total gold production for the first two months of the third quarter of 2020 to 4,396 ounces, up 9% over the same two-month period last year.

> MORE: https://www.stockwatch.com/News/Item?bid=Z-C:GCM-2962461&symbol=GCM&region=C

 

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Special Wts, Will be split &  trading on Monday (Sep.28th)

Caldas Gold files final prospectus for offering / 2020-09-21 18:20 ET - News Release

Mr. Mike Davies reports

CALDAS GOLD FILES SHORT FORM PROSPECTUS IN CONNECTION WITH OFFERING OF SPECIAL WARRANTS

Caldas Gold Corp. has filed and obtained a receipt for a final short form prospectus in each of the provinces of Canada, except Quebec, in connection with its $50-million bought deal private placement of 22,222,222 special warrants, completed on July 29, 2020. The prospectus qualifies for the distribution 22,222,222 common shares and 22,222,222 common share purchase warrants, issuable for no additional consideration, upon the deemed exercise of the special warrants. The offering was conducted by a syndicate of underwriters co-led by Scotiabank and Canaccord Genuity Corp.

As a result of obtaining the receipt, the special warrants shall be deemed to be exercised and the common shares and warrants underlying the special warrants will be issued, effective at 5 p.m. Toronto time on Monday, Sept. 28, 2020.

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Will CGC BREAKOUT?  Or slide...

Now that the placement shares sold at $2.25 -wts, start trading?

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CGC group: YTD.: 10dCGC: $2.85 (45.4%), GCM: $6.28, wtB: $4.15 - @ 9.25.2020

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GCM group: YTD.: 10d /  GCM: $6.28, wtB: $4.15, CGC: $2.85: GLDX: $3.65, ESV.h: $0.56, WA: $0.155 @ 9.24.20

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(Adding ESV in late Sept., "Group" valuations may look like this):

Gran Colombia related Companies & Enterprise Value of Deposit - (4/16/2020 framework) @ 9/24/2020

Company —————  (symbol) $ Price: shsOS: MktCap. : Gcm%: $-Value  (%GCM): 02/24: vs. Old Peak Val.

Caldas Gold Corp.    (CGC.t. ) : C$2.85: 106.M: $302.1M: x57% : $172.2M: (44.3%): C$2.00: $212.0M, $157M
Gold X Mining Corp. (GLDX.v): C$3.65: 58.9M: $215.0M: x21% : $45.15M: (11.6%): C$2.34: $137.8M, $  29M
"Denarius Silver".      (ESV.h.v): C$0.56: 71.2M: $  39.9M: x47% : $ 18.75M: ( 4.8%): C $0,00: $. 0.00M, $  00M
Western Atlas Res.  (WA.v.   ) : C$.155: 80.0M: $  12.4M: x20% : $. 2.48M:  ( 0.6%): C$.085:  $ 6.80M, $ 1.4M
=== : Four GCM co’s  ====== :  =====:  =====:  $569.4M: ==== : $238.6M: (61.4%) =====> : ======> $187M (44%)
Gran Colombia Gold (GCM.t): C$6.28: 61.9M : $388.7M: ==== : ======= : (100.%): C$6.94 : C$422M (100%)
--------- vs. 4/16/2020 (GCM.t): C$5.70: 60.8M : $346.6M: ==== : ======= : (100.%): C$6.94 : C$422M (100%)

Wow.  Over 60% (ie 61.4%) of GCM's MktCap is covered by investments in these four companies

 

RATIO: CGC to GCM looks like a "SELL" at about 50% - Now 45%

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HOW MANY WARRANTS? = 17.71 Million @ C$2.75

+ CGC Shares: 2,222,222 special warrants sold at an issue price of $2.25 (1.11Mn wts)

2,222,222 new shares + 1,111,111 new warrants, with strike price at $2.75. Expiry: until July 29, 2025. Caldas Gold may accelerate the expiry date of the Warrants after July 29, 2023 in the event that the closing price of the Common Shares on the TSX Venture Exchange (or such other exchange on which the Common Shares may principally trade at such time) is greater than CA$2.75 per share for a period of 20 consecutive trading days

+ CGC Gold-linked Debs: $83.1 Million with 200 wts (at C$2.75 strike) per $1,000 Face / (so US$83.1 Million = 16.6Mn wts

(footnote on CL's hldg.: 30k + 300k x200= 60k : 90k x$3= C$270k)

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CGC  : 2.52 - 2.53 : 2.53 - 0.07
CGC.wt : 0.50 - 0.60 : 0.6
means special wts costing 2.25 are worth: 2.53 + 0.60/2 = $2.83, + 25.8%

> https://www.stockwatch.com/Quote/Detail?C:CGC.NT.U

Appointment of new director

The company is also pleased to announce the appointment of Jeffrey Couch to the board of directors of the company. Mr. Couch is a financial services executive with extensive experience in the natural resources sector, having advised and raised capital for clients globally, with a particular focus on emerging markets. Currently Mr. Couch is working with Orion Resource Partners, a mining-focused private equity firm with over $6-billion (U.S.) under management. Mr. Couch has worked with several financial services firms in Europe, including being head of investment banking Europe for BMO Capital Markets (Bank of Montreal), and has also had senior investment banking roles with Credit Suisse Europe and Citigroup (Solomon Brothers). Mr. Couch also has public board experience on both the Toronto Stock Exchange and the London Stock Exchange. He holds both an undergraduate business degree and a law degree.

===

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Compare with GDXJ

GDXJ -vs:  CGC, GCM... YTD / Last: C$2.53/ 56.31= r-4.49%.   C$6.34/ 56.31= r-11.26%

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RATIO: C$2.53/ 56.31= r-4.49%. 

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BANNER QUARTER for GCM.t !  $0.18 div / $6.00= 3%

Gran Colombia earns $18.02M (U.S.) in Q3, ups dividend

GRAN COLOMBIA REPORTS THIRD QUARTER AND FIRST NINE MONTHS 2020 RESULTS; ANNOUNCES TRIPLING OF ITS DIVIDEND AND CHANGING PAYMENT FREQUENCY TO MONTHLY

... EXCERPTS

  • All-in sustaining costs (AISC) and all-in costs were $1,122 per ounce and $1,190 per ounce, respectively, in the third quarter of 2020, compared with $951 per ounce and $991 per ounce, respectively, in the third quarter last year. The year-over year increase in these metrics can largely be attributed to the increase in total cash costs, new spending on general and administrative (G&A) expenses, and social contributions in Caldas Gold Corp.,...

CALDAS GOLD:

Caldas Gold, 53.5 per cent-owned, continues to advance its plan to build the next major gold mine in Colombia. Following the release of its preliminary feasibility study for its Marmato project in early July, Caldas Gold completed a $50-million (Canadian) bought deal private placement of special warrants in late July, of which Gran Colombia acquired $20-million (Canadian) to maintain its equity ownership above 50 per cent. In late August, Caldas Gold finalized an $83.1-million private placement offering of subscription receipts, exchangeable into senior secured gold-linked notes and warrants of Caldas Gold, including $10-million acquired by Gran Colombia. On Nov. 5, 2020, Caldas Gold announced it had entered into a $110-million stream financing agreement with Wheaton Precious Metals International Ltd. The net proceeds from these three financings will be used by Caldas Gold to finance the planned expansion of mining operations into the MDZ. Caldas Gold is also continuing its drilling campaign at Marmato and recently announced it has extended the main zone by 300 metres along strike and it remains open.

> MORE: https://www.stockwatch.com/News/Item?bid=Z-C:GCM-2988170&symbol=GCM&region=C

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Update: CGC group: YTD.: 10dCGC: $2.00: 33.3% (was 45.4%@ 9.25), GCM: $6.00, wtB: $4.00 - @ 11.19.2020

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NOW LISTED: CGC.NT.U, CGC.WT

Date ET Symbol Price Type Headline
2020-11-19 08:41 C:CGC 2.02 News Release Caldas Gold issues 83.06M gold-linked notes
2020-11-17 16:31 C:CGC 2.05 Warrants Called to Trade Caldas Gold to list 16,613,200 warrants on TSX-V
2020-11-11 19:23 C:CGC 2.02 News Release Caldas Gold loses $24.87-million (U.S.) in Q3 2020

==

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Update, comparison with GDXJ

GDXJ -vs:  CGC, GCM... YTD / Last: C$2.00/ 51.96= r-3.85% (was 4.49%).   C$6.15/ 51.96= r-11.83% (was 11.26%)

NsIjprT.gif

 

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CGC / Caldas... 3yr: 1yr: YTD: 10d / $2.28 +0.10 / GDXJ (xx) = R-00%

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==

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Wow,  Enter the Dragon(s) - new control group, top investors = will be renamed Aris Gold

: 1cvn7t1-TheCollectiveYou-DigitalMaster-I ; 2017 interview

Globe says veteran mining players buy control of Caldas

2020-11-24 08:20 ET - In the News

The Globe and Mail reports in its Tuesday edition that veteran Canadian mining investors are joining forces to purchase an obscure junior Columbian gold company. The Globe's Tim Kiladze and Niall McGee write that the group of buyers includes former Goldcorp chairman Ian Telfer, former Goldcorp chief executive officer David Garofalo, current Yamana Gold executive chairman Peter Marrone and mining financier Frank Giustra. Together, the group will buy $38-million in new shares of Toronto-based Caldas Gold as part of an $85-million private placement, and they will also assume operational control. After the financing Caldas will be renamed Aris Gold and Mr. Telfer will become its board chairman. Neil Woodyer, the former CEO of Leagold Mining and Endeavour Mining, will serve as CEO, while Mr. Marrone and Mr. Garofalo will both sit on the board. Mr. Giustra will be a special adviser. Because the financing constitutes a change of control, Caldas's top four executives will be paid a juicy $8.8-million (U.S.) in cash severance. CEO Serafino Iacono, who has run the gold producer for nine months, will earn a $4.04-million (U.S.) severance package, while president Lombardo Paredes will earn $2.32-million (U.S.).

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ARIS, summary

Once the financing is completed, Gran Colombia Gold Corp. (“Gran Colombia”) is expected to become an approximately 45% shareholder of Caldas Gold and will have the right to nominate two directors to the Caldas Gold Board at completion of the Aris Transaction. Under the financing, the Company has agreed to sell, on a non-brokered private placement basis, an aggregate of 37,777,778 subscription receipts of the Company (“Subscription Receipts”), at a price of CA$2.25 each, for aggregate gross proceeds to the Company of CA$85 million (the “Offering”). The financing is expected to close on or about November 27, 2020 (the “Closing Date”).

EXCERPT

  • The incoming team has a proven track record of building successful precious metals mining companies, including the founding of Leagold Mining (now Equinox Gold), Endeavour Mining, Wheaton River Minerals (which became Goldcorp and now Newmont), Wheaton Precious Metals and Yamana Gold.
  • Following completion of the Aris Transaction, the Marmato license extension process will have been completed and the Marmato Deeps Zone (“MDZ”) expansion project will be fully-financed ahead of construction start, which is expected in H2 2021.
  • The Company is expected to have a cash balance of US$190 million and approximately 137.6 million issued shares outstanding upon completion of the Aris Transaction.
  • The private placement price per subscription receipt of CA$2.25 is a 14% premium to the closing price of Caldas Gold’s common shares on Friday November 20, 2020.

Neil Woodyer, CEO of Aris Gold commented, “It is with great pleasure that we announce the launch of the new Aris Gold today. We believe the Marmato mine with its current production and expansion plans supported by a large-scale gold resource represents an ideal platform for us to build a major gold mining company. With this CA$85 million financing, the existing US$110 million streaming financing with Wheaton Precious Metals and new support from Orion Mine Finance, the MDZ expansion program is fully funded. We are thankful to have the continued support of Gran Colombia in this placement, as we transition the Company into full independence. Our immediate focus will be on implementing an industry-leading sustainability program and completing the modernisation and expansion of the historic Marmato gold mine. The recent pre-feasibility study outlined potential average annual gold production of approximately 165 kozs from 2024 through 2033 once the MDZ is in full production with average life-of-mine all-in sustaining costs of US$872 per ounce. Recent exploration success from on-going programs indicates exciting exploration potential with significant upside potential.”

Ian Telfer, Chairman of Aris Gold commented, “I am honoured to join such a strong Board with an outstanding, fully-funded growth asset in Colombia. Not since the founding of Wheaton River Minerals 20 years ago have I seen such a strong macro-economic backdrop from which to launch a gold company.”

Serafino Iacono, Executive Chairman of Caldas Gold commented, “I am extremely excited to introduce a new leadership team and financing partners to Caldas Gold. Marmato now has all the tools at its disposal to transition to an optimised and fully modern mine in Colombia. Importantly, the company-building track record of the Aris Gold team combined with the in-country experience of Gran Colombia will enhance the Marmato mine and MDZ expansion and help bring the new Aris Gold to the world stage.”

On the Closing Date the gross proceeds from the Offering (the “Escrowed Proceeds”), will be deposited in escrow pending the satisfaction or waiver of certain release conditions (the “Release Conditions”), as described in more detail below. Upon the satisfaction or waiver of the Release Conditions at or before the Release Deadline (as defined below), each Subscription Receipt will be automatically converted, without payment of any additional consideration or further action on the part of the holder thereof, into one unit of the Company (a “Unit”) comprising one common share of the Company (a “Common Share”) and one Common Share purchase warrant of the Company (a “Warrant”), and the Escrowed Proceeds will be released, as described in more detail below.

xx

> https://www.globenewswire.com/news-release/2020/11/23/2131802/0/en/Caldas-Gold-Announces-CA-85-Million-Subscription-Receipt-Offering-and-Proposed-Change-of-Board-Management-and-Name.html

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Caldas Gold to become Aris Gold; proposes new all-star board

The Marmato project, located in the Caldas department in the heart of the Middle Cauca gold district. (Image courtesy of Gran Colombia Gold.)

The new board nominees include Ian Telfer (former CEO of Goldcorp and Wheaton River Minerals) as chair; David Garafalo (former CEO of Goldcorp and Hudbay Minerals); Peter Marrone (CEO of Yamana Gold); Attie Roux (former COO of Endeavour Mining and Equinox Gold); Daniela Cambone (former editor-in-chief of Kitco News) and Woodyer.

The non-brokered private placement subscription receipts financing is expected to close around Nov. 27. Caldas has also completed three other financings this year totalling $230.5 million to fund Marmato.

The underground mine, in Caldas, Colombia, produced 16,651 oz. gold and 23,404 oz. silver for the first three quarters of the year.

A prefeasibility study released in July projected that an initial capital investment of $269.4 million for expansion into the Marmato Deep Zone would result in production of 165,400 oz. gold per year from 2024 through 2033 at an all-in sustaining cost of $872 per oz. The expansion study was focused on the construction of a new 4,000 t/d plant and new dry stack tailings storage facilities, and the introduction of mechanized mining (longhole stoping) in 2023.

Marmato contains measured and indicated resources of 39.4 million tonnes grading 3.2 g/t gold for 4.1 million oz. That includes proven and proble reserves of 19.7 million tonnes grading 3.19 g/t gold and 6.87 g/t silver for 2 million oz. gold and 4.3 million oz. silver.

In addition to Marmato, Caldas holds the Juby gold project 100 km south of Timmins, Ont.

> https://www.mining.com/caldas-gold-to-become-aris-gold-proposes-new-all-star-board/

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Caldas Gold (TSXV:CGC) raises $85M amid corporate overhaul

Caldas Gold - Incoming CEO, Neil Woodyer - The Market Herald Canada
.      Incoming CEO, Neil Woodyer
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  • Caldas Gold (CGC) has raised C$85 million in a private placement ahead of a revised leadership team and a corporate name change
  • Neil Woodyer is expected to take over a CEO, while Canadian billionaire Frank Giustra will act as a strategic advisor
  • Caldas Gold is currently steady at $2.40 per share

Caldas Gold (CGC) has raised C$85 million in a private placement ahead of a revised leadership team and a corporate name change.

The proceeds have been deposited in escrow and will be released on March 31 next year upon the completion of certain conditions.

These include obtaining an extension of the Zona Baja mining concession for a minimum of 20 years, the reorganisation of the company's Board, a name change to Aris Gold Corporation, and the upholding of an investor agreement with Gran Columbia Gold.

Such an agreement provides that, as long as Gran Columbia holds more than a 20 per cent stake in Caldas, it has the right to appoint two directors to Caldas' Board of Directors and is required to vote in accordance with recommendations by Caldas' management.

Gran Columbia will also have the right to participate in future financings to maintain its 20 per cent equity interest.

Pursuant to the recently completed offering, Gran Columbia purchased just over 7.5 million subscription receipts worth $17 million, representing a 44.3 per cent holding in Caldas on an undiluted basis.

> more: https://themarketherald.ca/caldas-gold-tsxvcgc-raises-85m-amid-corporate-overhaul-2020-12-04/

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NEW BOARD & PLANS : "an Americas-focused precious metals producer", 137.6M shs O/S

NEW SHARES have Hold until: April 4, 2021.  Prior ones have hold until ???

Following the constitution of the new board, it is proposed that Neil Woodyer be appointed as chief executive officer of the company and lead a new management team based in Vancouver, B.C. These management changes will also be effected at the time of the satisfaction of the release conditions.

Mr. Woodyer, CEO of Aris Gold, commented: "Completing this equity financing is our first exciting milestone toward building Aris Gold into an Americas-focused precious metals producer. We are working closely with the Caldas Gold team on plans for advancing the Caldas mine expansion project, which includes the development of the Deeps zone mineralization and construction of a new 4,000 tpd processing facility to significantly increase gold production rates. We are also collaborating on work force training initiatives and implementation of an industry-leading sustainability program. We expect to facilitate a seamless board and management transition by early 2021."

The securities issued or issuable pursuant to the offering will be subject to a statutory hold period under applicable Canadian securities laws expiring on April 4, 2021.

Interest of Gran Colombia: 53.5% > 44.3% (undiluted)

Prior to the completion of the offering, Gran Colombia owned, directly or indirectly, or exercised control or direction over, 53,435,989 common shares of Caldas Gold representing approximately 53.5 per cent of the issued and outstanding common shares prior to the offering, as well as 18,388,889 share purchase warrants entitling Gran Colombia to acquire one Caldas Gold common share at either $2.75 or $3.

Gran Colombia participated in the offering for $17-million to acquire 7,555,556 subscription receipts. Upon the conversion to common shares and warrants of all 37,777,778 subscription receipts issued in connection with the offering, Caldas Gold will have 137,577,940 common shares issued and outstanding, of which Gran Colombia will hold 60,991,545 or 44.3 per cent, on an undiluted basis.

About Caldas Gold Corp.

Caldas Gold is a Canadian junior mining company currently advancing a major expansion and modernization of its underground mining operations at its Marmato project in Caldas, Colombia. Caldas Gold also owns 100 per cent of the Juby project, an advanced exploration-stage gold project located within the Shining Tree area in the southern part of the Abitibi greenstone belt about 100 km south-southeast of the Timmins, Ont., gold camp.

>

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Update: CGC group: From Jan.2020: 10dCGC: $2.25 (35.3%, pv45.4%), GCM: $6.37, wtB: $4.20 - @ 12.16.2020

CGC: $2.85 (45.4%), GCM: $6.28, wtB: $4.15 - @ 9.25.2020

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Caldas reaches agreement to extend Marmato contract

2021-01-05 07:51 ET - News Release

Mr. Serafino Iacono reports

CALDAS GOLD PROVIDES UPDATE ON EXTENSION OF MARMATO MINING TITLE

Caldas Gold Corp. has provided an update on the certification status of the proceedings related to its request for a 30-year extension of its Marmato mining contract 014-89M which is set to expire in October of this year. Following several work sessions in which the technical, legal, social, environmental and economic information was presented as the basis for the company's extension request, the company has reached agreement with the Agencia Nacional de Mineria (ANM) on the economic conditions as summarized below. The ANM has indicated that its process related to the technical information and finalization of the legal documents for the extension will be completed by mid-January.

Serafino Iacono, chairman and chief executive officer of Caldas Gold, commenting on the extension update, said: "We are very pleased with the co-operative manner in which our mining title extension request is being handled. It is clear that all parties understand the importance of this project to the nation, the Department of Caldas, the local community at Marmato and to our investors. We look forward to a successful conclusion of the extension process later this month, enabling us to bring the Aris Gold transaction to a close and to move ahead more aggressively with the MDZ expansion by accessing funds available under the Wheaton Precious Metals' stream and being held in escrow from our gold notes financing."

The key economic conditions associated with the approval of the extension request include:

  • An increase in the royalty rate paid to the ANM on gold production, currently 6 per cent of revenue, to 7 per cent. The ANM royalty on silver revenue will remain at 8 per cent;
  • A continuing commitment to finance annual social investment based on a rate of $25 (U.S.) per ounce produced, adjusted annually based on changes in the U.S. CPI Index, and subject to an annual minimum of $300,000 (U.S.), which is also indexed annually based on the U.S. CPI Index;
  • A contract premium of $6-million (U.S.) to be paid over a four-year period, indexed annually based on the U.S. CPI Index.

About Caldas Gold Corp.

Caldas Gold is a Canadian junior mining company currently advancing a major expansion and modernization of its underground mining operations at its Marmato project in the department of Caldas, Colombia. Caldas Gold also owns 100 per cent of the Juby project, an advanced exploration-stage gold project located within the Shining Tree area in the southern part of the Abitibi greenstone belt about 100 kilometres south-southeast of the Timmins gold camp.

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Update: CGC group: From Jan.2020: 10dCGC: $2.52 (30.5%), GCM: $8.25, wtB: $6.15 - @ 1.05.2021

CGC: $2.25 (35.3%), GCM: $6.37, wtB: $4.20 - @ 12.16.2020

CGC: $2.85 (45.4%), GCM: $6.28, wtB: $4.15 - @  9.25.2020

pJ1j6lA.gif

===

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update / Last: $2.39 +0.10

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News: Deal complete before end Jan?  then stock pops to $2.75 and beyond maybe

Date ET Symbol Price Type Headline
2021-01-18 07:36 C:CGC 2.29 News Release Caldas to receive Marmato extension by month-end
2021-01-13 07:22 C:CGC 2.30 News Release Caldas Gold produces 23,832 oz Au in 2020
2021-01-05 07:51 C:CGC 2.52 News Release Caldas reaches agreement to extend Marmato contract

1.

Caldas Gold Corp. produced a total of 2,520 ounces of gold in December, 2020, bringing the total for the fourth quarter of 2020 to 7,181 ounces, up from 7,057 ounces produced in the fourth quarter last year. For the full year, the company produced a total of 23,832 ounces of gold in 2020, which is within its annual guidance range of between 23,000 and 26,000 ounces. The company produced a total 25,750 ounces of gold last year and over the last 10 years has produced an average of approximately 23,800 ounces per year.

Lombardo Paredes, president of Caldas Gold, commenting on the company's latest results, said: "We continued to gain momentum in the fourth quarter of 2020 with the implementation of the optimized mine plan in the existing upper mining operation and commencement of the plant expansion that will increase capacity from 1,200 tonnes per day (tpd) to 1,500 tpd by the third quarter this year. While 2020 had its challenges, having to adapt our operations to cope with COVID-19, we successfully kept our operations going throughout the year. We have also commenced preparatory activities related to the expansion of our underground mining operations into the Marmato Deep zone (MDZ) while we await completion of the Marmato mining title extension, expected later this month as recently announced. Our ongoing drilling campaign in the MDZ continues to demonstrate Marmato's prowess as a rare world-class system, both in terms of its size and grades, and we expect to have further results available shortly from our fourth quarter program. At the end of December, we had an unrestricted cash position of approximately $32-million (U.S.) and a total of approximately $240-million (U.S.) of funds being held in escrow from the gold notes offering and the Aris Gold private placement together with the Wheaton stream financing, all of which will become available to us to fund the MDZ project following the mining title extension...

2.

Caldas Gold Corp. has received official notification from the Agencia Nacional de Mineria (ANM) confirming approval of the technical information related to its request for a 30-year extension of its Marmato mining contract 014-89M. With the economic conditions and technical approval now complete, the company and the ANM are finalizing the legal documents for the mining title extension. The company expects that the extension process will be completed before the end of January at which time it will proceed with the closing of the Aris Gold transaction.

About Caldas Gold Corp.

Caldas Gold is a Canadian junior mining company currently advancing a major expansion and modernization of its underground mining operations at its Marmato project in the department of Caldas, Colombia. Caldas Gold also owns 100 per cent of the Juby project, an advanced exploration-stage gold project located within the Shining Tree area in the southern part of the Abitibi greenstone belt about 100 kilometres south-southeast of the Timmins gold camp. On Nov. 23, 2020, Caldas Gold announced it had entered into a transaction with a group of investors, principally referred by Aris Gold Corp., that resulted in a $85-million (Canadian) private placement completed on Dec. 3, 2020, and will result in changes to the management and the board of directors of the company as well as a change in the company's name to Aris Gold. The net proceeds of the Aris Gold private placement, the management and board changes and the company name change will all occur once certain escrow release conditions are met, including completion of the Marmato mining title extension.

==

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