TSRMF - Copper & Gold Co. Involved in Merger Buys Camp Assets | Benzinga
Source: Streetwise Reports 06/03/2024
Blackwolf Copper & Gold Ltd. (OTC:BWCGF) announced it has closed on the purchase of camp assets at the company's Niblack project in southeastern Alaska from Matrix Camps and Logistics Inc.
Under the agreement, dated April 30, the parties released each from prior claims under a camp support and rental agreement between them in 2021. Blackwolf's wholly owned subsidiary, Niblack Project LLC, will pay Matrix a US$100,000 deposit made prior to the agreement and 9.3 million common shares in the capital of the company to Matrix affiliate Matrix Aviation Solutions Inc., Blackwolf said in a release.
The shares are subject to a statutory holding period until September 23. Also, 50% of the shares are subject to a contractual resale restriction, which means they can't be sold for a period of one year.
Blackwolf and Treasury Metals Inc. (OTC:TSRMF) announced earlier this month that they were merging, forming a strategic partnership poised to enhance their production and financial standing in the gold market.
The newly merged entity will focus on the Goliath Gold Complex (GGC) in Ontario, which is nearing production readiness.
It is expected to produce approximately 109,000 ounces of gold annually at competitive costs. This move is strategically timed to capitalize on the potential rise in gold prices, with some market analysts predicting prices could reach as high as US$3,000 per ounce in the medium term.
"Blackwolf Copper & Gold Ltd. and Treasury Metals have announced they are upsizing their combined merger-related financing from (CA)$4M to (CA)$6.4M" wrote Jay Taylor of Hotline on May 10. "This combination renders Blackwolf a near-term producer while providing the combined entity some exceptional exploration projects in British Columbia and Alaska."
The Catalyst: Pursuing Growth in a Strong Gold Market
Some analysts viewed the merger between the companies favorably.
"With a pro-forma cash balance of ~(CA)$10 million, strengthened with (the financing), the combined company would be well capitalized to execute on its strategy and pursue further growth in a strong gold price environment" wrote Red Cloud analyst Taylor Combaluzier, who rated the stock Tender, advising clients to tender their shares, with a target price of CA$0.35 per share.
Technical Analyst Clive Maund highlighted the positive aspects of the merger between Treasury Metals and Blackwolf on ...