Vancouver – Shareholders of SpectrumGold (SGX-T) have given the company an overwhelming thumbs-up to the proposed business combination with NovaGold Resources (NG-T).
Novagold, who already own about 56% of SpectrumGold, will acquire the remaining shares it does not own through a share exchange of 1 share for each 1.35 SpectrumGold shares.
The acquisition of SpectrumGold gives NovaGold full and complete title to the advanced stage Galore Creek gold-silver-copper project in the Stikine Gold Belt of northwestern British Columbia.
Galore Creek is one of the largest undeveloped gold-copper deposits in North America. Measured, indicated and inferred resources are 384.7 million tonnes grading 0.42 grams gold per tonne, 5.4 grams silver and 0.68% copper, using a 0.5% copper equivalent cut-off grade. Contained metal values are 5.2 million oz. gold, 67.3 million oz. silver and 5.8 billion pounds of copper.
Full title of Galore Creek for NovaGold will add to its portfolio of multi-million ounce gold projects including: Donlin Creek, Rock Creek and Nome Gold, and Ambler, all in Alaska.
Upon conclusion of the transaction, NovaGold will have 62.8 million shares outstanding.