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VANCOUVER, British Columbia, Nov. 10, 2022 (GLOBE NEWSWIRE) — Pure Gold Mining Inc. (NEX:PGM.H, LSE:PUR) (the “Company”) announces that the Supreme Court of British Columbia (the “Court”), on application of the Company in its proceedings under the
Companies’ Creditors Arrangement Act
(the “CCAA”), has granted a Sales and Investment Solicitation Process Order (the “SISP Order”), among other relief.
The SISP Order, among other things: (i) approves a sales and investment solicitation process for all the assets, undertakings and property of the Company, including the Company’s Mine project located in Ontario (the “SISP”) and (ii) approves of the engagement of National Bank Financial Inc. (“NBF”) as the Company’s sales agent for the purposes of the SISP.
In order to participate in the SISP and obtain access to a virtual data room and other information, interested parties must comply with the terms and conditions set forth in the SISP Order and other related documents, which are available on the website of KSV Restructuring Inc., the Court-appointed CCAA monitor, at
. Parties interested in participating in the SISP should contact Morten Eisenhardt and Andrew Armstrong at NBF at the following addresses:
In addition to the SISP Order, the Court also granted orders:
(a) extending the stay of proceedings granted under the CCAA until January 27, 2023;
(b) authorizing the Company to borrow additional funds under an interim financing credit facility from its lending partner, Sprott Private Resource Lending II (Collector), LP, in order to meet the Company’s immediate cash needs for the continuation of its business activities and preservation of its property;
(c) approving of a Key Employee Retention Plan which provides for, among other things, payments to key employees of the Company based on defined timelines and metrics connected to the SISP and CCAA process; and
(d) restating and amending the Initial Order of the Court granted on October 31, 2022.
About Pure Gold Mining Inc.
The Company is a Canadian gold mining company, located in Red Lake, Ontario, Canada. The Company owns and operates the Company’s Mine, which began gold production in 2021 after the successful construction of an 800 tpd underground mine and processing facility. The Company’s Mine is centered on a forty-seven square kilometre property with significant discovery potential.
Additional information about the Company and its activities may be found on the Company’s website at
and under the Company’s profile at
ON BEHALF OF THE BOARD
Mark O’Dea, President & CEO
Adrian O’Brien, Director, Marketing and Communications
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
All statements in this press release, other than statements of historical fact, are “forward-looking information” with respect to the Company within the meaning of applicable securities laws, including, but not limited to statements relating to the SISP and the outcome thereof; the expected outcome, timing and completion of the CCAA proceedings; risks related to the CCAA proceedings and the impact of the same on the Company’s operations; and expectations management will remain responsible for the day-to-day operations, under the general oversight of the Monitor. Forward-looking information is often, but not always, identified by the use of words such as “seek”, “anticipate”, “plan”, “continue”, “planned”, “expect”, “project”, “predict”, “potential”, “targeting”, “intends”, “believe”, “potential”, and similar expressions, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “should”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management at the date the statements are made including, among others, assumptions about future prices of gold and other metal prices, currency exchange rates and interest rates, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, successful resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the control of the Company and there is no assurance they will prove to be correct.
Such forward-looking information, involves known and unknown risks, which may cause the actual results to be materially different from any future results expressed or implied by such forward-looking information, including, risks related to the CCAA proceedings and the impact of the same on the Company’s operations; securing financing or undertaking a restructuring transaction and the timing thereof; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; the costs and timing of the development of new deposits; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; the timing and success of exploration and development activities generally; delays in permitting; possible claims against the Company; the timing of future economic studies; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals, financing or in the completion of exploration as well as those factors discussed in the Annual Information Form of the Company dated March 30, 2022 in the section entitled “Risk Factors”, under the Company’s SEDAR profile at
Although the Company has attempted to identify important factors that could 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. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise unless required by law.
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