Our roundup of Canadian small-caps making news and on the move today.
Ottawa-based Orezone Gold Corp. (ORE-T) said it has arranged a $6.5-million investment into the company by way of a non-brokered private placement, with Ross Beaty, a well-known mining investor, and other long-term shareholders including officers and directors of Orezone by issuing up to 21.7-million shares at 30 cents each.
The proceeds of the investment will be used to advance its Bombore project in West Africa "through the ongoing mine permitting process, optimize the economics and engineering of the recently completed feasibility study, and for general corporate purposes."
"We welcome Mr. Beaty as a significant new Orezone shareholder that complements an already strong shareholder base," said Ron Little, CEO of Orezone. "Mr. Beaty is well recognized for his successful track record in building mining companies and his selective approach to investments in the mining sector."
Toronto-based Galantas Gold Corp. (GAL-X), a gold miner and explorer, announced a proposed investment of $2.4-million by means of a non-brokered private placement, the majority of which will be taken up by Ross Beaty.
The placement will comprise the issue of 20-million units, each unit will comprise of one common share and one share purchase warrant. Each warrant shall be exercisable into one common share for 12 months from closing at an exercise price of 16 cents each. Mr. Beaty will acquire 16-million units, for a stake of 14.9 per cent, before the exercise of the warrants.
"Ross Beaty has an exceptional and profitable track record of investment in mining companies. I am delighted that he has shown confidence in the Galantas Omagh gold project and will join our shareholder base," said CEO Roland Phelps.
The company intends to use the net proceeds of the placement for exploration, for initiating development of the underground Omagh gold-mine and for working capital purposes. The Omagh gold-mine, situated in County Tyrone, Northern Ireland was until recently worked by open-pit methods and received planning consent for underground mining in June.
Vancouver-based Kaizen Discovery Inc. (KZD-X) and AM Gold Inc. (AMG-X) announced today that they have entered into a definitive acquisition agreement that will provide Kaizen with 100 per cent ownership of the Pinaya Copper-Gold Project in Peru's provinces of Caylloma and Lampa.
AM Gold will receive 15,384,615 common shares of Kaizen - representing 9.7 per cent of Kaizen's shares - and a cash payment of $500,000. After closing AM Gold is expected to hold about 8.8 per cent of Kaizen's shares. The transaction is expected to close in early September.
"The planned acquisition of the Pinaya Project is a major step forward for Kaizen on its growth path of assembling a diversified portfolio of high-quality mineral projects in the Americas and the Pacific Rim," said B. Matthew Hornor, Kaizen's president and CEO.
Pinaya's existing measured and indicated mineral resources include 293 million pounds of copper and 616,000 ounces of gold, the companies said.
"Kaizen has a strong balance sheet, an experienced exploration and development team, and also has access to capital to continue advancing the Pinaya Copper-Gold Project. Completion of this planned transaction will enable AM Gold to unlock Pinaya's present, inherent value. In addition, through a significant share position in Kaizen, AM Gold also will have exposure to the growth of a diversified exploration company," said John Fiorino, CEO of AM Gold.
Vancouver-based Rokmaster Resources Corp. (RKR-X) said in a separate release that it has entered into an agreement with Kaizen Discovery Inc. to facilitate Kaizen's acquisition of the Pinaya Gold/Copper Project in Peru from AM Gold Inc. As part of the agreement, Rokmaster has terminated the option agreement between it, AM Gold and AM Gold's Peruvian subsidiary, Canper Exploraciones S.A.C., and has transferred ownership back to AM Gold and Canper and terminated the arbitration proceedings under way between Rokmaster, AM Gold and Canper. Kaizen will pay Rokmaster $300,000 and issue 2-million common shares of Kaizen.
Vancouver-based Sabina Gold & Silver Corp. (SBB-T) said it has arranged a non-brokered private placement pursuant to which it will sell up to about 2.7 million flow through common shares at 50 cents each to raise gross proceeds of about $1.35- million. The proceeds will be used to explore and advance the company's Back River Gold Project in Nunavut.
Ottawa-based International Datacasting Corp. (IDC-T), a technology provider for broadcasters, said it has completed a $900,000 private placement and that it has named Chris Barrett and Steeve Huin as Co-CEOs of IDC. Mr. Barrett was formerly the vice-president of engineering and operations and Mr. Huin was the vice-president of products and services. Both have been on the leadership team during the past two years and made significant contributions to the new LASER MPS product line.