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Gold Standard Ventures Corp. (TSXV:GSV,NYSEMKT:GSV) announced a strategic investment of C$16.1 million by Goldcorp Inc. (TSX:G,NYSE:GG). Goldcorp will purchase 16,100,000 common shares of the company priced at $1 each.
Gold Standard Ventures Corp. (TSXV:GSV,NYSEMKT:GSV) announced a strategic investment of C$16.1 million by Goldcorp Inc. (TSX:G,NYSE:GG). Goldcorp will purchase 16,100,000 common shares of the company priced at $1 each.
As quoted in the press release:
The Financing is expected to close on or about February 8, 2016, following which Goldcorp will own (inclusive of shares currently held by Goldcorp) approximately 9.9% of the Company’s issued and outstanding shares on an undiluted basis, prior to giving effect to any shares purchased by OceanaGold Corporation pursuant to its existing equity participation right to acquire up to 19.9% of the issued and outstanding shares of the Company (announced May 20, 2015). The net proceeds of the Financing will be used to further advance the Company’s Railroad-Pinion project and for general corporate and working capital purposes.
Jonathan Awde, president, CEO and director of Gold Standard Ventures, commented:
We view this investment by Goldcorp as a validation of the exploration success we have had at the Railroad-Pinion project. With the proceeds from the private placement we will look to aggressively expand the 6km Dark Star corridor, the location of the recent North Dark Star discovery, which we believe has the potential to host a significant gold system.
Click here to read the full Gold Standard Ventures Corp. (TSXV:GSV,NYSEMKT:GSV) press release.