KO Gold Announces Acquisition of Two Exploration Permits in the Otago Gold District, New Zealand
Toronto, Ontario–(Newsfile Corp. – February 15, 2024) – KO Gold Inc. (CSE: KOG) (“KO Gold” or the “Company“) is pleased to announce that it has entered into an arm’s length exploration permit acquisition agreement (the “Acquisition Agreement“) dated February 15, 2024 with NewPeak Metals Ltd. (“NewPeak Metals“) and NewPeak NZ Ltd. (together with NewPeak Metals, the “Vendors“) and Neil Stuart (the “Recipient“) pursuant to which the Company has acquired (the “Acquisition“) two exploration permits (EP) located in the Otago Gold District of New Zealand (the “Property“).
The newly acquired exploration permits are Raggedy Range EP 60733 and Garibaldi EP 60677, which combined are approximately 92 km2 in size and located between Santana Minerals’ advanced resource-stage Bendigo-Ophir Gold Project (Rise and Shine Shear Zone – RSSZ) and OceanaGold Corp’s active Macraes gold mine (Hyde-Macraes Shear Zone – HMSZ) (Figure 1). Both exploration permits were granted for a 5-year term and are highly prospective for gold based on historical exploration work and alluvial gold workings in the area. With the addition of these exploration permits, KO Gold now has eight 100%-owned prospecting and exploration permits within the Otago Gold District for a combined land package of approximately 1,064 km2. KO Gold has also submitted an EP application over the Carrick Goldfield north of its Carrick prospecting permit, with permit approval still pending by New Zealand Petroleum and Minerals (“NZP&M“).
As consideration for the Property, the Company will: (i) issue to the Recipient and the Vendors an aggregate of 595,238 common shares (each, a “Common Share“) in the capital of the Company at a deemed issuance price of $0.42 per Common Share; (ii) issue to the Recipient and the Vendors such number of Common Shares having a value of $125,000 on or before February 15, 2025 (the “Second Tranche“); and (iii) issue to the Recipient and the Vendors such number of Common Shares having a value of $125,000 on or before February 15, 2026 (the “Third Tranche“). The Common Shares issued in the Second Tranche and the Third Tranche shall be issued at the Market Price (as such term is defined in the policies of the Canadian Securities Exchange) on the date of issuance.
Pursuant to the policies of the Canadian Securities Exchange (the “CSE“), the Acquisition and the issuance of the Common Shares remains subject to receipt of all necessary corporate and regulatory approvals, including the approval of the CSE. All Common Shares issued will be subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation.
Completion of the sale and purchase of the Property is also subject to and conditional upon NZP&M and the Minister approving the transfer of the Property from the Vendors to the Purchaser in accordance with the New Zealand Crown Minerals Act.
Figure 1: Location of KO Gold’s prospecting and exploration permits in Otago Gold District
To view an enhanced version of Figure 1, please visit:
https://images.newsfilecorp.com/files/9895/198072_eefb920b84d09a39_002full.jpg
Qualified Person Statement
All scientific and technical information contained in this news release was prepared and approved by Paul Ténière, P.Geo., Vice President of Exploration and Director of KO Gold Inc. who is a Qualified Person as defined by NI 43-101.
About KO Gold Inc.
KO Gold is a Canadian junior mining company listed on the CSE under the ticker symbol “KOG“. The Company’s strategy is to acquire and explore highly prospective gold properties within the Otago Gold District in New Zealand. KO Gold has eight 100%-owned prospecting and exploration permits within the Otago Gold District, which includes the Smylers Gold Project for a combined land package of approximately 1,064 km2. The Smylers Gold Project is an advanced exploration project located adjacent to OceanaGold’s active Macraes Gold Mine. The Smylers Gold Project has the potential to host a major gold deposit and has seen significant investments in exploration and drilling over the past few years including over C$1M spent by KO Gold on exploration including reverse circulation (RC) and diamond drilling.
For further information, please contact:
Greg Isenor, President and CEO, Director
Tel: (902) 832-5555
Email: info@kogoldnz.com
Website: www.kogoldnz.com
KO Gold Inc.
Suite 802 – Sun Tower, 1550 Bedford Highway Bedford, Nova Scotia
B4A 1E6 Canada
The CSE has neither approved nor disapproved the contents of this news release. Neither the CSE nor its Market Regulator (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this news release.
Forward-Looking Information
The information contained herein contains “forward-looking statements” within the meaning of applicable securities legislation. Forward-looking statements relate to information that is based on assumptions of management, forecasts of future results, and estimates of amounts not yet determinable. Any statements that express predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance are not statements of historical fact and may be “forward-looking statements.” Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation: risks related to failure to obtain adequate financing on a timely basis and on acceptable terms; risks related to the outcome of legal proceedings; political and regulatory risks associated with mining and exploration; risks related to the maintenance of stock exchange listings; risks related to environmental regulation and liability; the potential for delays in exploration or development activities or the completion of feasibility studies; the uncertainty of profitability; risks and uncertainties relating to the interpretation of drill results, the geology, grade and continuity of mineral deposits; risks related to the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses; results of prefeasibility and feasibility studies, and the possibility that future exploration, development or mining results will not be consistent with the Company’s expectations; risks related to commodity price fluctuations; and other risks and uncertainties related to the Company’s prospects, properties and business detailed elsewhere in the Company’s disclosure record. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Investors are cautioned against attributing undue certainty to forward-looking statements. These forward-looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from the Company’s expectations or projections.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/198072
