(TheNewswire)
Vancouver, British Columbia – TheNewswire - March 25, 2024 - Majestic Gold Corp. (“Majestic” or the “Company”) (TSX.V: MJS, FSE:A0BK1D) is pleased to announce the Company,through its 70.5% owned subsidiary, Persistence Resources Group Ltd.(“Persistence”) has entered into a non-binding letter of intent(“LOI”) with a Vendor (“Vendor”) and Target Company to acquire70% of the issued share capital (the “Possible Acquisition”) ofthe target company incorporated in the PRC (the “Target Company”).
The Target Company is principally engaged in goldmining and processing, emergency rescue for mine accidents andpreventive safety inspection, property leasing and investment with itsown fund. The Target Company owns mining licenses of three gold mineslocated in Yantai City of the Shandong Province in the PRC. Theconsideration for the Possible Acquisition shall be determinedfollowing arm’s length negotiations between the Company and theVendor and shall be set out in the formal agreement.
The Company aims to increase its market share throughtargeted acquisitions of high-quality gold mining assets, and believesthat if the Possible Acquisition is completed, not only will theCompany’s market position in Muping-Rushan gold metallogenic beltand the Shandong Province be strengthened and solidified, but theresources and talents of the Target Company can assist the Company toexpand its mineral resources and boost the gold concentrate processingcapacity.
Persistence is currently conducting preliminary duediligence on the Target Company (the “Due Diligence”). Within amonth of obtaining the results of the Due Diligence, the Company willthen initiate negotiations with the Vendor for entering into a formalagreement and agree on specific terms in relation to the PossibleAcquisition based on the results of the Due Diligence work.
About Majestic Gold
Currently focused in China, Majestic Gold Corp. is aBritish Columbia based company engaged in commercial gold productionat the Songjiagou Gold Mine in eastern Shandong Province, China.Additional information on the Company and its projects is available at www.sedarplus.ca and on theCompany's website at www.majesticgold.com .
For further information, pleasecontact:
Stephen Kenwood, P. Geo., President, CEO &Director
Telephone: (604) 560-9060
Email: info@majesticgold.com
Website: www.majesticgold.com
CautionaryNotes
Certain statements contained hereinmay constitute forward-looking statements and are made pursuant to the"safe harbor" provisions of the United States PrivateSecurities Litigation Reform Act of 1995 and Canadian securities laws.Forward-looking statements are statements which relate to futureevents. Such statements include estimates, forecasts and statements asto management's expectations with respect to, among other things,business and financial prospects, financial multiples and accretionestimates, future trends, plans, strategies, objectives andexpectations, including with respect to production, explorationdrilling, reserves and resources, exploitation activities and eventsor future operations. Information inferred from the interpretation ofdrilling results and information concerning mineral resource estimatesmay also be deemed to be forward-looking statements, as it constitutesa prediction of what might be found to be present when, and if, aproject is actually developed.
In some cases, you can identifyforward-looking statements by terminology such as "may","should", "expects", "plans,"anticipates", believes", "estimates","predicts", "potential", or "continue"or the negative of these terms or other comparable terminology. Thesestatements are only predictions and involve known and unknown risks,uncertainties and other factors that may cause our or our industry'sactual results, level of activity, performance or achievements to bematerially different from any future results, levels of activity,performance, or achievements expressed or implied by theseforward-looking statements.
While these forward-lookingstatements, and any assumptions upon which they are based, are made ingood faith and reflect our current judgment regarding the direction ofour business, actual results will almost always vary, sometimesmaterially, from any estimates, predictions, projections, assumptionsor other future performance suggestions herein. Except as required byapplicable law, Majestic Gold does not intend to update anyforward-looking statements to conform these statements to actualresults
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