Visitors Now:
Total Visits:
Total Stories:
Profile image
By ProactiveInvestors (Reporter)
Contributor profile | More stories
Story Views

Now:
Last Hour:
Last 24 Hours:
Total:

WPC to buy Lupin Gold Mine and Ulu Gold Property from Mandalay

Wednesday, November 2, 2016 12:21
% of readers think this story is Fact. Add your two cents.

(Before It's News)

WPC Resources Inc. (CVE:WPQ) said it has signed a definitive agreement with Mandalay Resources Corporation (TSE:MND) to buy Mandalay’s 100%-owned subsidiary, Lupin Mines Incorporated (LMI).

LMI owns 100% interests in the Lupin Gold Mine and the Ulu Gold Property.

The Lupin Gold Mine was in production from 1982 to December 2004.

Lupin was placed into care and maintenance in February 2005. To date over 3.4mln ounces of gold have been mined and recovered from Lupin with an average mill-head grade of 8.9 grams per tonne (0.259 ounces per ton).

Currently, Lupin holds all permits required to maintain its present good standing including a Type “A” water licence which allows for the transition from care and maintenance to the restart of operations and ultimately to commercial production.

LMI also holds, in restricted cash accounts approximately $27.5mln, which have been pledged through letters of credit to cover future estimated environmental reclamation costs on the Ulu Gold Properties.

The transaction, which is expected to be completed prior to December 31, is subject to the satisfaction or waiver of certain conditions, including WPC completing a private placement or other financing for gross proceeds of not less than $5mln and the receipt of all necessary regulatory approvals.

Upon completion of the transaction, Mandalay will own 20mln common shares of WPC and will have the right to acquire up to an additional 16mln common shares of WPC upon conversion of the convertible note.

WPC shares rose 15.8% to C$0.11 while Mandalay shares were up 3.1% at C$1.00 on Wednesday.

Story by ProactiveInvestors

Report abuse

Comments

Your Comments
Question   Razz  Sad   Evil  Exclaim  Smile  Redface  Biggrin  Surprised  Eek   Confused   Cool  LOL   Mad   Twisted  Rolleyes   Wink  Idea  Arrow  Neutral  Cry   Mr. Green

Top Stories
Recent Stories

Register

Newsletter

Email this story
Email this story

If you really want to ban this commenter, please write down the reason:

If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.