True Gold Mining Inc. (TSXV:TGM) announced that it has entered into a strategic investment agreement with Liberty Metals & Mining Holdings which will result in LMM becoming True Gold’s largest shareholder.
As quoted in the press release:
LMM, a subsidiary of Boston-based Liberty Mutual Insurance, will invest a total of $23,450,931 in True Gold through a combination of a non-brokered private placement of True Gold common shares and the sale of a 2% net smelter return royalty on the Company’s interest in the Karma Gold Project.
True Gold’s Executive Chairman, Mark O’Dea, said:
Their long-term investment strategy and financial strength are ideally suited for a company transitioning from exploration to an emerging developer. Upon completion of the feasibility study that is now underway, this funding will allow us to make deposits to secure longer lead time capital items, continue site preparation, and maintain our development schedule.