Desert Gold Completes Acquisition of Ashanti Gold Corp.
Desert Gold Completes Acquisition of Ashanti Gold
Corp.
Delta, British Columbia--(Newsfile Corp. - August 22, 2019) -
DESERT GOLD VENTURES INC.
(TSXV: DAU) (FSE: QXR2)
(OTC Pink: DAUGF) ("Desert Gold" or the "Company") is pleased to announce it has closed its business combination with
Ashanti Gold Corp ("Ashanti"). Each shareholder of Ashanti will receive 0.2857 Desert Gold shares for each Ashanti share held.
Approximately 21,097,657 Desert Gold Shares were issued to Ashanti shareholders.
Ashanti continues as a wholly owned
subsidiary of the Company.
Ashanti shareholders will receive their Desert Gold shares on a push out basis.
In addition, 1,631,381 Desert Gold shares were issued to outgoing Ashanti management and directors to settle debts owing to
them. These shares were issued at a deemed price of $0.18 and are subject to voluntary trading restrictions, with half of the total
legended for 6 months and the balance for 12 months.
Desert Gold's acquisition of Ashanti increases the Company's land position along and near the Senegal Mali Shear Zone and
Main Transcurrent Fault Zone by 28% to 296.9 km
2
. Both of these regional structures are related to multi-million ounce gold
mines and deposits owned by B2Gold, Barrick, AngloGold Ashanti/IAMGOLD and Teranga. The Ashanti concession hosts five
gold zones with drill intercepts to 2.04 g/t Au over 75 metres. Gold mineralization is related to hydrothermal-type breccia zones
and typical, structurally-controlled shear and fault zones hosted by both volcanics, sediments and felsic intrusions. Currently
Desert Gold is remodelling the two larger zones, Gourbassi East and West, with a plan to test the revised model in late Q4,
2019. Remodelling is supported by a recently completed new ground magnetic survey and lithogeochemical data, which support
an alternative mineralization model. Management believes that the likelihood of discovering additional gold mineralization and
extensions to known zones is high.
Desert Gold thanks the Ashanti shareholders for their support of this transaction and believes that this combination, in a rising
gold market, with some of the best exploration ground in West Africa, provides a compelling base from which to grow.
This press release contains certain scientific and technical information of Desert Gold.
The Company is solely responsible for
the contents and accuracy of any scientific and technical information related to it.
Don Dudek, P.Geo a director of Desert Gold
and a Qualified Person under National Instrument 43-101, has reviewed and approved the scientific and technical information
contained in this press release.
ON BEHALF OF THE BOARD
"Jared Scharf"
Jared Scharf, President & Director
+1 (604) 357 4726
For further information please visit our website
www.desertgold.ca
or information available on
www.SEDAR.com
under the
company's profile.
Certain statements contained in this release may constitute "forward-looking statements" or "forward-looking information"
(collectively "forward-looking information") as those terms are used in the Private Securities Litigation Reform Act of 1995
and similar Canadian laws. These statements relate to future events or future performance. The use of any of the words
"could", "intend", "expect", "believe", "will", "projected", "estimated", "anticipates" and similar expressions and statements
relating to matters that are not historical facts are intended to identify forward-looking information and are based on the
Company's current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ
materially. In particular, this release contains forward-looking information relating to the business of the Company, the
Property, financing and certain corporate changes. The forward-looking information contained in this release is made as of
the date hereof and the Company is not obligated to update or revise any forward-looking information, whether as a result of
new information, future events or otherwise, except as required by applicable securities laws. Because of the risks,
uncertainties and assumptions contained herein, investors should not place undue reliance on forward-looking information.
The foregoing statements expressly qualify any forward-looking information contained herein.
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.
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/47155