10:56:52 EDT Fri 29 Mar 2024
Enter Symbol
or Name
USA
CA



American CuMo Mining Corp
Symbol MLY
Shares Issued 93,699,946
Close 2016-02-09 C$ 0.09
Market Cap C$ 8,432,995
Recent Sedar Documents

American CuMo signs Ag stream financing with investor

2016-02-10 14:03 ET - News Release

Mr. Shaun Dykes reports

AMERICAN CUMO MINING ANNOUNCES SILVER STREAM FUNDING AND DETAILS OF ANNUAL GENERAL MEETING

Idaho CuMo Mining Corp., a wholly owned subsidiary of American CuMo Mining Corp., has finalized an agreement with a private California-based investor for the purchase of up to 12 $250,000 (U.S.) units of the company's silver stream debentures (see Aug. 20, 2014, press release).

Under the terms of the agreement, the investor has purchased two units for a total of $500,000 (U.S.) and has been granted an option to purchase an additional two units before Dec. 31, 2016, and another two units before Dec. 31, 2017, provided the first two units are purchased by Dec. 31, 2016. The total investment is $1.5-million (U.S.) for six units. The investor has agreed to accrue all interest payments and, in so doing, has been granted the right to purchase six more units for an additional $1.5-million (U.S.) at the time the company delivers a decision to place the CuMo project into commercial production.

American CuMo's silver stream financing is designed to raise up to $25-million (U.S.) from the sale of units at a price of $250,000 (U.S.) per unit, with each unit consisting of a $250,000 (U.S.) non-transferable loan and the right to convert the loan into a contract to purchase 375,000 ounces of silver at $5 (U.S.) per ounce (with a 1-per-cent-per-year inflation clause) from 50 per cent of the silver production of the CuMo project. The purchaser has the right to convert the loan to a contract within 30 days of the company delivering a decision to place the CuMo project into commercial production. The loan is secured by the assets of Idaho CuMo.

The company also announces that its annual general meeting has been set for 10 a.m. PST on Tuesday, March 29, 2016, at the Bentall 5 conference room, lobby level, 500 Burrard St., Vancouver. A proxy and circular information will be delivered on Feb. 18, 2016, to all shareholders of record as of Feb. 12, 2016.

Finally, American CuMo is pleased to report that 400 individual calibration sorting samples from its CuMo project, representative of the deposit's various mineral zones, were delivered to and received by Steinert Elektromagnetbau GmbH. The samples are currently in the process of being scanned with Steinert's sophisticated ore-sorting X-ray technology. This will be followed by the scanning of a large bulk sample for a final confirmation of the significant upgrading of the CuMo deposit's mineralization, as previously announced on Jan. 11, 2016.

We seek Safe Harbor.

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