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OceanaGold takes a stake in NuLegacy

8th April 2016

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Triple-listed gold miner OceanaGold has taken a 19.9% shareholding in Canada’s NuLegacy Gold.

OceanaGold on Friday reported that the company had entered into an agreement to acquire some 47.66-million shares in NuLegacy, at a price of C$0.14 each, for a total investment of C$6.67-million.

NuLegacy is the owner of the Iceberg gold deposit, in Nevada, which has a potential exploration target of between 90-million and 110-million tonnes, grading between 0.9 g/t and 1.1 g/t gold.

“Our investment in NuLegacy is closely aligned with our strategy to seek exposure to quality gold projects. The Iceberg project sits within the prolific Cortez gold trend in Nevada and we look forward to working with NuLegacy to advance the project,” said OceanaGold president and CEO Mick Wilkes.

Under the terms of the agreement, OceanaGold could nominate one director to the NuLegacy board, appoint one representative to the company’s technical committee, participate in future equity financing to maintain its shareholding, and would have the right of first offer to negotiate, should a joint venture be contemplated to develop the Iceberg project.

Edited by Creamer Media Reporter

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