Upon completion of the transaction, Goldgroup will own 100% of the Caballo Blanco project.

Almaden will retain an undivided 1.5% net smelter royalty interest in Caballo Blanco and will own a 100% interest in the El Cobre project.

Goldgroup will also transfer to Almaden its 40% interest in the El Cobre property, which covers copper-gold porphyry mineralization known to exist over a strike length of at least four kilometers.

The Caballo Blanco project covers an area of about 55,000 hectares and is centered next to the Gulf of Mexico.