20-Apr-2016
BCGold Corp. Announces Revisions To Peruvian Transaction, Updates Private Placement
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Vancouver, British Columbia, April 20, 2016 (TSX-V: BCG) - BCGold Corp. ('BCGold' or the 'Company'). Further to its news release of April 14, 2016 (the 'Release') the Company announces that it has agreed to certain revisions to the structure of its proposed acquisition of certain Peruvian companies (the 'Transaction') holding the Chanape and Pucacorral mineral concessions (the 'Properties'). As revised the Company will acquire the shares of Circum Pacific Holdings Ltd. ('Circum-Pacific') a closely held British Columbia company which is the majority owner of the shares of Minera Chanape SAC ('Chanape') and Cima de Oro S.A.C. ('Cima'), the holders of the Properties, in lieu of directly acquiring Circum-Pacific's shares in Chanape and Cima. The overall consideration payable in connection with the Transaction as detailed in the Release, being a total of up to 30,000,000 shares of BCGold and $60,000 remains the same, with two-thirds of such consideration now being issued to the shareholders of Circum-Pacific.
It is also proposed that the 8,000,000 shares of BCG to be issued for the account of the shareholders of Cima in connection with the payments to be made to acquire the shares of SMRL Cerro de Oro Tres ('Tres'), the holder of a further 9 concessions in Peru, which shares were to be issued in stages coincidental with the payments related to the purchase of the shares of Tres (the 'Tres Payments') are instead all to be issued on closing of the Transaction, to be held in escrow and released coincidental with the Tres Payments or otherwise upon the occurrence of certain agreed upon events.
The Company also announces that, in addition to relying upon other available prospectus exemptions to effect the $750,000, 15,000,000 Unit private placement disclosed in the Release, the Company intends to rely upon B.C. Instrument 45-536 (distribution through an investment dealer). In this regard the Company advises that it is anticipated that, of the gross proceeds of the private placement, approximately $200,000 will be used to pay the costs associated with the Transaction and the remaining $550,000 will be applied to advance the Properties. The Company further advises that there is no material fact or material change about the Company that has not been generally disclosed.
About BCGold
BCGold is a Vancouver-based junior resource company that has been listed on the TSX Venture Exchange for 10 years, with a focus on copper and gold exploration in British Columbia, Yukon and more recently, Peru. The Company acquires prospective gold and copper-gold exploration properties considered to have significant mineral potential by staking, option or purchase agreements. The Company strives to acquire 100% of these opportunities and after cost-effective and diligent exploration to develop drill targets, option 51-70% of these properties to third parties in return for some multiple of the Company's expenditures. The Company currently has a portfolio of 10 - 100% owned gold and copper-gold properties and 2 partially owned gold properties in B.C. and Yukon. BCGold is actively seeking qualified option partners to advance these properties.
On behalf of the Board of Directors,
Brian P. Fowler, P. Geo.
President & CEO
For further information, please contact:
Brian P. Fowler
Tel: 604-697-2401
Email: [email protected]
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.