Barrick completes Strategic Investment in Midas Gold to advance the Stibnite Gold Project, Idaho
VANCOUVER, May 16, 2018 - Midas Gold Corp. (TSX:MAX) (OTCQX:MDRPF) (“Midas Gold” or the “Company”) today announced that Barrick Gold Corp. (NYSE:ABX) (TSX:ABX) (“Barrick”) has purchased 46,551,731 common shares of Midas Gold in a non-brokered private placement (the “Placement”) at a price of C$1.06 per share for gross proceeds of US$38,065,907. As a result of the Placement, Barrick owns 19.9% of the issued and outstanding shares in Midas Gold on closing.
Barrick’s investment supports Midas Gold’s continued efforts to complete a feasibility study and permitting of the Stibnite Gold Project, a world class mining operation that can address legacy environmental impacts and generate economic benefits for the local community.
Additional transaction details can be found in Midas Gold’s news release dated May 9, 2018 and in Midas Gold’s filings made on SEDAR, available at www.sedar.com.
Haywood Securities Inc. acted as financial advisor to Midas Gold. DuMoulin Black LLP acted as Canadian legal counsel to Midas Gold and Davies Ward Phillips & Vineberg LLP acted as Canadian legal counsel to Barrick.
For further information about Midas Gold Corp., please contact:
Liz Monger -- Manager, Investor Relations
About Midas Gold and the Stibnite Gold Project
Midas Gold Corp., through its wholly owned subsidiaries, is focused on the exploration and, if warranted, site restoration and development of gold-antimony-silver deposits in the Stibnite-Yellow Pine district of central Idaho that are encompassed by its Stibnite Gold Project. As operator of the Project, Midas Gold’s subsidiary, Midas Gold Idaho, Inc. is a modern mining company that believes that industry and the environment can work together. Commencing in 2009, Midas Gold defined a world-class deposit of gold and antimony in an area in need of serious environmental repair. The Stibnite Gold Project, as proposed in the Plan of Restoration and Operations currently being reviewed by regulators, would restore the site, create economic opportunity and benefit the surrounding communities.
About Barrick Gold
Barrick aims to be the leading mining company focused on gold, creating value by developing and operating high-quality assets in an environmentally responsible way that demonstrates commitment to the local communities. Through strategic investment in good projects and operational excellence, Barrick’s vision is to use responsible mining to build wealth for its owners, its people, and the countries and communities with which they partner. Barrick has mining operations in Argentina, Australia, Canada, Chile, Dominican Republic, Papua New Guinea, Peru, Saudi Arabia, the United States, and Zambia. Barrick was founded in 1983 and is headquartered in Toronto. Barrick's shares trade on the New York Stock Exchange and the Toronto Stock Exchange under the symbol ABX.
Statements contained in this news release that are not historical facts are "forward-looking information" or "forward-looking statements" (collectively, "Forward-Looking Information") within the meaning of applicable Canadian securities legislation and the United States Private Securities Litigation Reform Act of 1995. Forward-Looking Information includes, but is not limited to, disclosure regarding possible events, conditions or financial performance that is based on assumptions about future economic conditions, courses of action and business objectives. In certain cases, Forward-Looking Information can be identified by the use of words and phrases such as "anticipates", "expects", "understanding", "has agreed to" or variations of such words and phrases or statements that certain actions, events or results "would", "occur" or "be achieved". Although Midas Gold has attempted to identify important factors that could affect Midas Gold and may cause actual actions, events or results to differ materially from those described in Forward-Looking Information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended, including, without limitation, the risks and uncertainties related to the use of proceeds of the Placement. In making the forward-looking statements in this news release, Midas Gold has applied several material assumptions, including the assumption that general business and economic conditions will not change in a materially adverse manner. There can be no assurance that Forward-Looking Information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on Forward-Looking Information. Except as required by law, Midas Gold does not assume any obligation to release publicly any revisions to Forward-Looking Information contained in this news release to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.