The proceeds will be allocated to the further development of the
General Terms of the Sale
Subject to the terms and conditions of the Agreement, the Supplier has agreed to sell to the Buyer, a metal stream of 50,000 ounces of gold. All deliveries to the Buyer of gold are in the form of certified bullion with a fineness grade of greater than 99.50% at a minimum of 5,000 ounces per year, commencing on the earlier of (i) 120 days after commercial production at the Project is declared by the Supplier and (ii) 36 months after the Completion Date, being
Purchase Price
Subject to the terms and conditions of the Agreement, the Buyer will pay to the Supplier the following purchase price with respect to the gold that is sold and delivered by the Supplier to the Buyer: Fixed price of
The Cash Payment will be advanced to the Supplier as follows
USD
Royalty
The Supplier will register to the Buyer up to a 12.5% NSR over the Project, to be registered in the
Right of First Refusal
The Buyer also has a right of first refusal to enter into a financing arrangement with the Supplier, after an initial 400,000 ounces of total production has been achieved, to purchase an additional gold metal stream from the Project of 12.5% of any future gold production, but limited to 50,000 ounces in total from additional resources, and deliverable at a minimum of 5,000 ounces per year commencing 120 days after commercial production is declared for additional resources, that have been placed into production. In the event that the Buyer exercises the right of first refusal, the Buyer shall pay to the Supplier a purchase price with respect to the gold of 60% of the prevailing gold spot price in effect as of the date on which the right is exercised. The right cannot be exercised before a Preliminary Economic Assessment that establishes the existence and the economic viability of additional resources at the Project is completed and released.
About Canamex
Canamex is a public listed company registered in
Contact:
Tel: 604.833.4278
Email: mike.stark@canamexgold.com
FORWARD LOOKING INFORMATION
This news release includes certain forward-looking statements or information. All statements other than statements of historical fact included in this release are forward-looking statements that involve various risks and uncertainties. Forward-looking statements in this release include statements with respect to future services to be provided to the Company, and other future plans, objectives or expectations of the Company. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's plans or expectations include the availability of capital and financing required to continue the Company's operations; uncertainty regarding the performance by other entities of contractual obligations; general economic, market or business conditions; competition and loss of key employees; regulatory changes and restrictions; timeliness of government or regulatory approvals and other risks detailed herein and from time to time in the filings made by the Company with securities regulators. In connection with the forward-looking information contained in this release, the Company has made numerous assumptions. The Company expressly 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 as otherwise required by applicable securities legislation.
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