- Raindrop Ventures (RAYN) has signed an agreement to acquire Liberty Gold’s portfolio of gold properties in Nevada
- The company will pay a total of US$50,000 (roughly C$65,300) to Liberty Gold, issue a 1.5 per cent royalty on certain properties, and issue 9.9 per cent of its outstanding share capital following the completion of a private placement
- With six assets in total, the portfolio includes the wholly owned Anchor, Stateline and Sandy properties, as well as a 49 per cent interest in the Brik, Easter and Viper properties
- Under the terms of the concurrent placement, the company intends to raise up to $2.08 million by issuing 13 million units at a price of $0.16 each
- Raindrop Ventures is currently up 13.51 per cent to $0.21 per share
Raindrop Ventures (RAYN) has signed an agreement to acquire Liberty Gold’s portfolio of gold properties in Nevada, USA.
Located in the Great Basin region of the state, the portfolio consist of six exploration assets. These include a 100 per cent interest in the Anchor, Stateline and Sandy properties, and a 49 per cent interest in the Brik, Easter and Viper properties.
According to an option agreement signed in 2016, the Brik, Easter and Viper properties are hold as a joint venture operation with K2 Resources, which owns the remaining 51 per cent stake.
Under the terms of the deal with Liberty Gold, Raindrop will pay a total of US$50,000 (roughly C$65,300) in cash for the six properties, and will issue a 1.5 per cent royalty on certain assets.
Raindrop will also issue 9.9 per cent of its issued and outstanding share capital to Liberty upon the completion of a concurrent private placement.
“We are now developing plans to initiate work on this high-quality property portfolio and look forward to Liberty becoming a key shareholder of Raindrop,” said Saf Dhillon, CEO of Raindrop Ventures.
“Raindrop is pursuing a concurrent private placement with the proceeds used to advance exploration of properties from this acquisition, strengthen our treasury and provide funds to further our Clover Mountain gold project in Idaho,” he added.
Raindrop plans to raise up to $2.08 million by issuing 13 million units at a price of $0.16 each. These units will be comprised of one common share and one-half of a non-transferable share purchase warrant, exercisable at a price of $0.27 per share for a period of three years.
Raindrop Ventures is currently up 13.51 per cent to $0.21 per share at 11:47am EST.