Steppe Gold Limited (TSX: STGO) –Completes First Tranche & Provides Board Update 1 TSX Symbol: STGO Total Basic Shares O/S (M): 41.6 MATTHEW WOOD Chairman, President and CEO BATAA TUMUR-OCHIR Director and Executive Vice President Mongolia
TSX: STGO
August 27, 2019
STEPPE GOLD COMPLETES FINAL TRANCHE OF FINANCING AND PROVIDES CAPITALIZATION UPDATE ON BOARD CHANGES
TSX Symbol: STGO
Total Basic Shares O/S (M): 41.6
TORONTO -- Steppe Gold Limited (TSX: STGO) (the “Company” or “Steppe BOARD OF DIRECTORS Gold”) is pleased to announce that following the approval of shareholders of the Company at the special meeting of shareholders held on August 23, MATTHEW WOOD
Chairman, President and CEO 2019 (the “Special Meeting”) it has completed the second and final
tranche of its previously announced private placement (the “Offering”) BATAA TUMUR-OCHIR issuing US$3.04 million principal amount of 10% two year unsecured
Director and Executive Vice President Mongolia
convertible debentures (“Debentures”) bringing the aggregate principal ANEEL WARAICH
Director and Executive Vice President
amount of debentures issued under the Offering to $8.44 million.
PATRICK MICHAELS
Director The Debentures will bear interest from the date of closing at 10% per annum, calculated and payable semi-annually in arrears on June 30 and December 31
DR. ZAMBA BATJARGAL
Director in each year, commencing on December 31, 2019 and will mature on August SEREENEN JATGJARGAL 27, 2021.
Director The Debentures will be unsecured obligations of the Company and rank pari passu in right of payment of principal and interest with all other Debentures
BATKHUU BUDNYAM
Director issued under the Offering.
STEVE HAGGARTY
Director The Debentures will be convertible at the option of the holder into common shares of the Company at any time prior to the close of business on the CONTACT INFORMATION maturity date at a conversion price of US$0.52 (Approx. C$0.70) per common THE COMPANY’S HEAD OFFICE: share. The Company has the right to accelerate the conversion of the Shangri-La office, Suite 1201, Olympic street Debentures in the event the closing price of the common shares on the Toronto Stock Exchange exceeds C$2.00 for any period of 30 consecutive 19A, Sukhbaatar District 1, Ulaanbaatar 14241, Mongolia Tel: +976 7732 1914 trading days.
The Debentures and any Common Shares issuable upon conversion or
TORONTO OFFICE:
exercise thereof, as applicable, will be subject to a statutory hold period 90 Adelaide Street. W, Suite 400 Toronto, ON M5H 3V9, Canada lasting four months and one day following the date of issuance.
Tel: +1 647 697 0577 The Company is also pleased to confirm the election of Ms Sereenen Jargalan
TRANSFER AGENT:
Lori Winchester as a director of the Company at the Special Meeting and the subsequent Senior Relationship Manager, Client appointment of Mr. Steve Haggarty to the Board, the nominee of the Management Company’s financing partner, Triple Flag Mining Finance.
Phone: +1 416 607-7898 Cell: +1 416 671-4558 Email: [email protected] With a mining career spanning nearly four decades, Mr Haggarty’s industry experience includes 24 years in operations and 14 years in corporate and EPCM-related roles. Most recently, Mr Haggarty was Senior Director, Metallurgy at Barrick Gold Corp. In this role, he was responsible for operational performance improvements, defining GeoMet models, processing strategy and risk mitigation. Mr Haggarty has worked at multiple mine sites around the world, including as General Manager of Barrick TSX: STGO
DEVELOPMENT AND FINANCING UPDATE
August 27, 2019
Gold’s Veladero heap leach project in Argentina. He is considered a technical leader in heap leach processing, implementation and optimization.
Following the election of Ms Jargalan and the appointment of Mr Haggarty, the Board is now comprised of Matthew Wood, Aneel Waraich, Bataa Tumur-Ochir, Patrick Michaels, Zamba Batjargal, Batkhuu Budnyam, Sereenen Jargalan and Steve Haggarty.
“We are very pleased to welcome Ms Jargalan and Mr Haggarty as new directors. Ms Jargalan is a very highly regarded expert in mineralogy and geology and she brings significant and deep technical mining expertise focused on Mongolia. Mr Haggarty brings a wealth of relevant technical and strategic mining experience to the Company. Both Ms Jargalan and Mr Haggarty are great additions to our team as we approach first gold production and progress the Feasibility Study for a proposed 150,000 oz gold per annum expansion at the ATO Project” said Matthew Wood, Chairman of Steppe Gold.
ABOUT STEPPE GOLD LTD.
Steppe Gold is a precious metals development company with an aggressive growth strategy to build Steppe Gold into the premier precious metals company in Mongolia. The Company owns 100% of the advanced staged Altan Tsaagan Ovoo Gold Project where a heap leach development has been completed.
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Stormwater Pond ADR Plant 2