VANCOUVER, British Columbia, May 8, 2023 (GLOBE NEWSWIRE) — luck Silver mines inc FSM FVI is pleased to announce that it has signed a definitive agreement to implement the scheme (“agreement“) with Chesser Resources Limited CHZ (“Chess“), after which Fortuna has agreed to acquire 100% of the fully paid-up common stock of Chesser (the “Chesser shares“) in consideration for 0.0248 common shares of Fortuna (each whole share, a “Fortuna share“) for each Chesser Share held (“scheme consideration“). The Scheme Consideration corresponds to a purchase price of approximately AUD$0.1421 for each Chesser share and values the transaction at approximately A$89.0 million (C$80.6). The transaction contemplated by the Agreement (the “transaction“) will be implemented by way of a Scheme of Arrangement under Part 5.1 of the Australian Companies Act 2001 (Cth) (“To planUpon implementation of the Plan, Fortuna expects to issue up to 15,545,682 Fortuna shares to Chesser shareholders, representing approximately 5.1% of the issued and outstanding Fortuna shares on a basic basis.
The acquisition of Chesser will expand Fortuna’s presence in West Africa to include the Diamba Sud Gold Project at the Preliminary Economic Assessment (“Diamba Sud”) in Senegal, one of the new and emerging gold discoveries in the region. Chesser owns approximately 872 square kilometers of land2 of prospective ground, located in close proximity to Barrick Gold’s and B2Gold’s Tier One gold mines in Mali, with similar geological characteristics. Diamba Sud itself contains four open pit mineable high grade gold deposits as well as numerous targets yet to be tested. Fortuna will prioritize exploration to expand the mineral resource before moving Diamba Sud into the development phase.
Jorge A. Ganoza, President and CEO of Fortuna, commented, “Chesser has done a great job in a short amount of time taking Diamba Sud from early exploration stage to a multi-stage PEA stage project.
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