Mandalay Resources Corp (MNDJF)

[NYBob]

Mandalay Resources strikes deal to sell Lupin gold mine -
Mon 10:40 am by Giles Gwinnett

The Lupin mine lies on west of the Contwoyto Lake within the Kitikmeot
region of Nunavut and was in production from 1982 to December 2004, before
being placed on care and maintenance in February, 2005


The Lupin mine lies on west of the Contwoyto Lake within the Kitikmeot
region of Nunavut and was in production from 1982 to December 2004,
before being placed on care and maintenance in February, 2005

http://www.proactiveinvestors.com/companies/news/59344/mandalay-resources-strikes-deal-to-sell-lupin-gold-mine--59344.html

Mandalay Resources (TSE:MND) has inked a deal to sell the formerly producing Lupin gold mine and the Ulu gold property in Canada.
They belong to 100% owned Mandalay subsidiary Lupin Mines and the buyer, in cash and shares, is WPC Resources.
The Lupin mine lies on west of the Contwoyto Lake within the Kitikmeot region of Nunavut and was in production from 1982 to December 2004, before being placed on care and maintenance in February, 2005.
Over 104.4 tonnes of gold (3.4 million ounces of gold) were recovered with an average mill-head grade of 8.9 grams per tonne.
WPC will pay C$3mln at the closing of the transaction and will issue 18 million shares to Mandalay - 6mln on closing and 6 million on each of the next two anniversary dates of the closing.
Mandalay will also be able to participate in any financing so it can keep at least a 10% equity interest in WPC.
It will also issue Mandalay a convertible note of C$1.6 million in consideration of the Ulu Gold Property environmental bond.
Stephen Wilkinson, WPC's president said the purchase, subject to approvals, was part of the strategy to build a significant gold producer.
"The LOI represents an arm's length transaction between the parties and supersedes the previous Ulu option agreement."
Last week, Mandalay repeated its 2015 production guidance as the miner saw more records tumble in its latest results.
God Bless