KORE Mining announced that it has entered into definitive agreements for a $4,000,000 investment by Macquarie Bank and its affiliates.
Image: KORE secured $4,000,000 as strategic investment from Macquarie. Photo: Courtesy of Alex Banner from Pixabay.
As part of the Investment, Macquarie will subscribe for 6,000,000 common shares of Kore and acquire a 1% NSR royalty (the “Macquarie Royalty”) on the Imperial Project.
Investment Highlights
Provides funding for KORE to advance permitting of the Imperial Project, generating a compelling investment opportunity with proximity to existing operations.
Includes provisions for certain rights for Macquarie to provide project development financing.
Kore maintains a right to buy back the Macquarie Royalty on the following terms:
within 6 months of the closing date for the Macquarie Royalty, if the Company is acquired at a price of no less than $0.75 per share, the Company may buy back the Macquarie Royalty for $4,750,000; or
within greater than 6 months but less than 12 months of the closing date for the Macquarie Royalty, if the Company is acquired at a price of no less than $1.00 per share, the Company may buy back the Macquarie Royalty for $6,750,000;
Newmont Goldcorp Corporation also holds a 1% NSR royalty on the Imperial Project.
Adrian Rothwell, President and CEO stated, “We welcome this strategic investment from Macquarie, one of the world’s major resource investors, as we continue to advance and de-risk the Imperial Project. The Imperial Project, located in Imperial County, California, approximately 17 kilometres from the producing Mesquite Mine owned by Equinox Gold Corp., will contribute meaningfully to the local economy as we advance the project through the permitting process and towards a development decision.”
Closing of the Investment is subject to the approval of the TSX Venture Exchange.
Source: Company Press Release.