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Emgold secures option to acquire 55% stake in East-West gold property

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Emgold secures option to acquire 55% stake in East-West gold property

Emgold Mining Corp. said Dec. 11 that it secured an option to acquire a stake of up to 55% in the East-West gold project in Quebec from an unnamed private individual.

Emgold will purchase an initial 50% stake by paying 4,000,000 common shares and C$135,000 in staged cash payments over nine months.

To acquire an additional 5% stake for a total of 55%, Emgold must invest at least C$200,000 in the property within three years of the original terms agreed Nov. 27, 2018, between the vendor and Knick Exploration Inc., which owns 50% of the project.

After Emgold completes the first stake purchase, the junior gold and base metal explorer intends to form a joint venture with Knick and become the property's operator.