TSX Venture Exchange (TSX-V): GRG
Frankfurt Stock Exchange (FSE): G6A
OTCQB Venture Market (OTCQB): GARWF
VANCOUVER, BC, Jan. 12,
2024 /CNW/ - Golden Arrow Resources
Corporation (TSXV: GRG) (FSE: G6A) (OTCQB: GARWF),
("Golden Arrow" or the "Company") is pleased to
announce that New Golden Explorations Chile SpA ("NGE"), a
wholly-owned subsidiary of the Company, has entered into an option
agreement (fully executed January 9,
2024) (the "Option Agreement") with Sociedad de
Servicios Andinos SpA ("SSA"). Under the Option Agreement,
NGE has granted SSA the option (the "Option") to subscribe
for 333 shares in the capital of NGE (each, a "Share"),
equivalent to approximately 25% of the issued and outstanding
Shares upon exercise of the Option, subject to the terms and
conditions of the Option Agreement. The Shares are not convertible
or otherwise exchangeable for common shares of the Company. SSA is
non-arm's length to the Company. No finders' fees are payable for
this transaction.
To exercise the Option, SSA must contribute US$5,000,000 (in the equivalent amount of Chilean
pesos), as follows:
(i) US$2,000,000 in cash, through six bimonthly
installments of US$333,333 commencing
on February 1, 2024, and
(ii) performing drilling services, heavy
machinery services, truck rental, as well as any other goods or
necessary services for the development of field activities at the
San Pietro Project (as described below) with an aggregate value of
US$3,000,000 by July 2025.
Joseph Grosso, Chairman, CEO and
President of Golden Arrow commented,
"We are very pleased with this arrangement with SSA as this deal
represents the equivalent of approximately 7
million Canadian dollars of non-dilutive financing for
Golden Arrow, in a difficult market.
The investment will allow us to complete an aggressive exploration
and drilling program to continue evaluating San Pietro's many
targets, and in support of our first NI 43-101 mineral resource
estimate for the project which we are aiming to complete by the end
of year."
San Pietro Project
NGE holds a 100% interest in the Company's San Pietro iron
oxide-copper-gold-cobalt project in Chile (the "San Pietro Project"). The
San Pietro Project covers nearly 18,500 hectares, approximately 100
kilometres north of Copiapo. Situated between and adjacent to
Capstone Copper's Manto Verde Mine property and Santo Domingo
Project, the San Pietro Project is in the centre of a potential new
copper-cobalt region within an active, well developed mining
district that is home to all the major iron oxide-copper-gold
("IOCG") deposits in Chile.
The proximity of the San Pietro Project to other mining projects in
the area does not provide any assurances with respect to the
prospects at the San Pietro Project.
The San Pietro Project hosts multiple targets with strong
IOCG+cobalt mineralization. In 2023 the Company completed
approximately 4000 metres of diamond drilling in 13 holes to add to
the database of ~34,000 metres of historic drilling at San Pietro.
All targets tested reported strongly mineralized intervals as
reported in Company news releases on June
13, June 27 and July 12. With completion of this arrangement
with SSA, the Company is fine-tuning its geological modeling
to finalize the drill spacing and program required to support a NI
43-101 mineral resource estimate at San Pietro. The full 2024
exploration and resource delineation drilling program will be
announced in the coming weeks.
About Sociedad de Servicios Andinos SpA:
SSA is a company based in Copiapó whose main activities are
Diamond drilling, Heavy Equipment Services and Logistics. They are
currently carrying out drilling and water supply with cistern
trucks at Filo del Sol project, for Lundin Group.
SSA's main shareholder is also the majority shareholder of AGV
GROUP, a leading mining services company in Argentina, with a ten year partnership with
Grosso Group companies in Argentina, including Golden Arrow.
About Golden Arrow:
Golden Arrow Resources Corporation is a mining exploration
company with a successful track record of creating value by making
precious and base metal discoveries and advancing them into
exceptional deposits.
Golden Arrow is actively
exploring its flagship property, the advanced San Pietro iron
oxide-copper-gold-cobalt project in Chile, and a portfolio that includes nearly
125,000 hectares of prospective properties in Argentina.
The Company is a member of the Grosso Group, a resource
management group that has pioneered exploration in Argentina since 1993.
ON BEHALF OF THE BOARD
"Joseph Grosso"
_____________________________
Mr. Joseph Grosso,
Executive Chairman, President and CEO
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
This news release may contain forward-looking statements.
Forward-looking statements address future events and conditions and
therefore involve inherent risks and uncertainties. All statements,
other than statements of historical fact, that address activities,
events or developments the Company believes, expects or anticipates
will or may occur in the future, including, without limitation,
statements about the proceeds from the Option transaction and the
use of such proceeds; the Company's plans for its mineral
properties; the Company's business strategy, plans and outlooks;
the future financial or operating performance of the Company;
future exploration and operating plans (including the 2024
exploration and resource delineation drilling program); the
fine-tuning of the Company's geological modeling; and the
completion of a NI 43-101 mineral resource estimate (and the timing
thereof) are forward-looking statements.
Forward-looking statements are subject to a number of risks
and uncertainties that may cause the actual results of the Company
to differ materially from those discussed in the forward-looking
statements and, even if such actual results are realized or
substantially realized, there can be no assurance that they will
have the expected consequences to, or effects on, the Company.
Factors that could cause actual results or events to differ
materially from current expectations include, among other things:
the impact of COVID-19; risks and uncertainties related to the
ability to obtain, amend, or maintain licenses, permits, or surface
rights; risks associated with technical difficulties in connection
with mining activities; and the possibility that future
exploration, development or mining results will not be consistent
with the Company's expectations. Actual results may differ
materially from those currently anticipated in such statements. The
proximity of the San Pietro Project to other mining projects in the
area does not provide any assurances with respect to the prospects
at the San Pietro Project. Readers are encouraged to refer to the
Company's public disclosure documents for a more detailed
discussion of factors that may impact expected future results. The
Company undertakes no obligation to publicly update or revise any
forward-looking statements, unless required pursuant to applicable
laws.
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SOURCE Golden Arrow Resources Corporation