PROBE GOLD INC. (TSX: PRB) (OTCQB: PROBF) (“Probe” or the “Company”) is pleased to announce the completion of the previously announced acquisition (the “Acquisition”) of the Croinor property (the “Property”) pursuant to an asset purchase agreement dated July 12, 2023 (the “Agreement”) between the Company, Monarch Mining Corporation (“Monarch”) and X-Ore Resources Inc.
Pursuant to the Agreement, the Company acquired a 100% interest in the Property for aggregate consideration of $4.5 million, issued to Monarch, as follows: (i) Probe issued 1,522,533 common shares (the “Consideration Shares”) for a total value of $2.5 million based on the 10-day volume weighted average price (VWAP) of Probe’s common shares on the Toronto Stock Exchange ending on July [24], 2023, with the Consideration Shares being issued at a deemed price of $1.642 per Consideration Share; and (ii) a cash payment of $2.0 million.
The Consideration Shares have a hold period of four months and one day from closing date of the Acquisition. In addition, Probe will assume any reclamation liabilities associated with the past-producing Croinor mine.
The Acquisition is subject to the final approval of the Toronto Stock Exchange.
