Corvus Gold Inc. has entered into a $20 million loan agreement with AngloGold Ashanti North America Inc. to fund the ongoing permitting and predevelopment work at the company’s North Bullfrog project as well as ongoing exploration at its Mother Lode and Lynnda Strip projects. The loan will have a fixed interest rate of 1.10725% with interest beginning 180 days after signing. Repayment of loan will be the lesser of 12 months after the origination date, or after all North Bullfrog project mine construction permits are obtained by Corvus. A minimum of 70% of the loan amount will be spent on project work.
Corvus has granted AngloGold a 90-day exclusivity period where Corvus will abstain from all discussions or actions related to material transactions involving company assets or change in share structure.
Corvus controls 100% of its North Bullfrog Project, which covers approximately 90.5 km2 in southern Nevada. The property package is made up of a number of private mineral leases of patented federal mining claims and 1,134 federal unpatented mining claims. The project has excellent infrastructure, being adjacent to a major highway and power corridor as well as a large water right. The company also controls 445 federal unpatented mining claims on the Mother Lode project totaling approximately 36.5 km2, which it owns 100%. The total Corvus 100% land ownership now covers more than 127 km2, hosting two major new Nevada gold discoveries.