BeMetals gets B2Gold as new strategic partner in Japan
(Kitco News) - BeMetals (TSXV: BMET) announced today that it has signed an amalgamation agreement to acquire privately owned Kronk Resources, which holds the rights to a highly prospective portfolio of advanced and early-stage gold exploration projects in Japan.
In addition, BeMetals announced a non-brokered private placement of $7.5 million through the issuance of approximately 17.05 million shares of BeMetals at $0.44 per share to senior gold producer and new strategic investor, B2Gold (TSX: BTO), subject to successful closing of the transaction.
B2Gold is an existing shareholder of Kronk, owning approximately 15.4 million shares of the company. Following the transaction and offering, B2Gold will hold approximately 19% of BeMetals’ outstanding shares.
The company said that the transaction establishes BeMetals in the gold sector with an expertly selected portfolio of gold properties in Japan, including the advanced exploration-stage Kato project in Hokkaido.
President and CEO John Wilton commented, “After reviewing numerous precious metals projects we are delighted to have secured this exceptional package of gold properties in Japan. Kronk assembled, with support from B2Gold, this land position in Japan. This transaction provides BeMetals with excellent direct exposure to gold exploration properties in areas of Japan known to have hosted numerous historical high-grade mines. We believe the strategic investment from B2Gold could open the door to future opportunities both within Japan and in other regions around the world.”
BeMetals is a precious and base metals exploration and development company focused on becoming a leading metal producer through the acquisition of quality exploration, development and potentially production stage projects.