VANCOUVER, BC / ACCESSWIRE / July 27, 2022 / Gambier Gold Corp. (TSXV:GGAU) ("Gambier" or the "Company") announces an update on the Company's mineral claims and properties as well as a corporate update.
Completion of Detour West Option Agreement
Gambier issued the final two million shares to complete the Detour West option agreement with the vendors of its flagship gold property near the Detour Mine in Ontario, Canada and now owns 100% of the project. These shares along with the assessment report filed with the Ontario Ministry of Natural Resources, keep the property in good standing. The vendors of the Detour West property will retain a 2.5% Net Smelter Returns royalty (NSR), of which 1% can be repurchased for $500,000. The Company will continue to put its exploration efforts into this flagship property, and we expect to announce the exploration plans for the Detour West property in the coming months.
Termination of Hemlo Pic River Claims Option Agreement
Gambier and Rudy Wahl, the vendor of the one hundred and twenty-five (125) mining cell claim units Hemlo Pic River Claims have agreed to terminate the option/acquisition agreement. The decision to terminate the agreement was due to previous management not maintaining the property in good standing. The previous management did not meet the minimum required expenditure during the claim holdings period. Gambier no longer holds any claims in the Hemlo region as the previous management also allowed the other Hemlo claims to expire in February 2022.
Sale of Wicheeda Carbo Claims
On Sep 21, 2021, the Company came to a Mineral Property Acquisition Agreement with Eagle Bay Resources Corp, an Exploration Company in British Columbia, to sell the Carbo Property for $150,000. The Company received $150,000 cash in the sale of the property, which was recognized as other income during the year ended March 31, 2022. The sale was never disclosed to shareholders via news release and was considered non-material information which was only disclosed in the November 29, 2021, MD&A.
Corporate Update
The new management team completed the financial audit with the auditors Crowe Mackay LLP. The financial statements for the year ended March 31, 2022, along with the MD&A have been filed on SEDAR (link attached). https://www.sedar.com/DisplayProfile.do?lang=EN&issuerType=03&issuerNo=00026505
During the audit process, several items were found that were not properly managed by previous management, including one cashed cheque issued with no payee, several cheques issued to insiders without invoices and above previously paid monthly amounts, and invoices that were not recorded or handed over after the June 1st AGM. The Company took steps to freeze the bank accounts but the bank balances had been drawn down to a negligible balance with certain payments, while other creditors remained unpaid. After several requests, previous management handed over the cheque books a month after the AGM at which they were removed.
As of July 27, 2022 the Company has a small cash balance. The Company will work to settle any outstanding accounts payable, including one large creditor that previous management did not pay due to an internal dispute. It is expected that the accounts payable will be able to be reduced significantly.
Looking Forward
Daniel Rodriguez, CEO of Gambier Gold, commented, "Detour West remains the focus of the Company, and issuing the two million shares completes our transaction with the vendors making Detour West property 100% Gambiers. We will continue to build the team to explore the Detour West property as I believe there are a lot of unanswered questions that merit proper exploration. Losing Hemlo was not expected when I started this process but is a part of the unfortunate legacy that previous management has left behind. We will move forward with the remaining properties while considering the addition of other high-impact assets."
For further information contact:
Daniel Rodriguez
CEO & Director
Phone: (604) 353-4080
Email: [email protected]
Forward‐Looking Statement (Safe Harbor Statement): This press release contains forward-looking statements within the meaning of applicable securities laws. The use of any of the words "anticipate", "plan", "continue", "expect", "estimate", "objective", "may", "will", "project", "should", "predict", "potential" and similar expressions are intended to identify forward-looking statements. In particular, this press release contains forward-looking statements concerning the Company's exploration plans. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company cannot give any assurance that they will prove correct. Since forward-looking statements address future events and conditions, they involve inherent assumptions, risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of assumptions, factors and risks. These assumptions and risks include, but are not limited to, assumptions and risks associated with conditions in the equity financing markets, and assumptions and risks regarding receipt of regulatory and shareholder approvals. Management has provided the above summary of risks and assumptions related to forward-looking statements in this press release in order to provide readers with a more comprehensive perspective on the Company's future operations. The Company's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits the Company will derive from them. These forward-looking statements are made as of the date of this press release, and, other than as required by applicable securities laws, the Company disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Gambier Gold Corp.