Nevgold Announces 100% Acquisition of Nutmeg Mountain After Final Share Issuance Payment to Goldmining
NEVGOLD ANNOUNCES 100% ACQUISITION OF NUTMEG MOUNTAIN
AFTER FINAL SHARE ISSUANCE PAYMENT TO GOLDMINING
Vancouver, British Columbia – January 1 9, 202 4 – NevGold Corp. (“NevGold” or the “Company”)
(TSXV:NAU) ( OTCQX:NAUFF) ( Frankfurt:5E50) announces the issuance (the “ Share Issuance
Payment”) of 10,000,000 NevGold common shares to GoldMining Inc. (TSX:GOLD, NYSE:GLDG)
(“GoldMining”) pursuant to the Nutmeg Mountain Opti on Agreement dated June 13, 2022 (see June 14,
2022 News Release). The total Share Issuance Payment of 10,000,000 shares equates to $3.0 million issued
at $0.30 per share representing the 30-day VWAP share price as of market close on December 18, 2023.
NevGold has now exercised the option under the Nutmeg Mountain Option Agreement to acquire
100% of the Nutmeg Mountain Gold Project in Washington County, Idaho (the “Project”, “Nutmeg
Mountain”, see Figure 1). NevGold announced a Mineral Resource Estimate (“ MRE”) at the Project on
August 17, 2023 (News Release Link) of 1,007,000 Indicated ounces of gold (51.7 Mt @ 0.61 g/t Au), and
275,000 Inferred ounces of gold (17.9 Mt @ 0.48 g/t Au) (see Note 1).
NevGold CEO, Brandon Bonifacio , comments: “Completing the acquisition of 100% of Nutmeg
Mountain from GoldMining is a monumental milestone for the Company. We have diligently advanced our
efforts since closing the transaction on Nutmeg Mountain in August-2022. After less than 12 months of
working on the project we released our initial Mineral Resource Estimate in August-2023, where we
delivered an open-pit, oxide, heap-leachable gold Indicated Mineral Resource of 1.01Mozs and Inferred
Mineral Resource of 275kozs. We will continue to focus our future efforts on drilling the many high priority
drill targets both on the private ground and fully permitted Bureau of Land Management (“BLM”)
unpatented claims to unlock further value at the Project. We are fortunate to now own 100% of one of the
very few open-pit, oxide, heap-leach gold projects of scale and grade with mineralization starting at surface
in the Western USA. Nutmeg Mountain’s location in Western Idaho (Washington County) also offers many
benefits as it is a premier mining jurisdiction with excellent infrastructure in place , which will allow for
rapid project advancement.”
The Share Issuance Payment is subject to the final approval of the TSX Venture Exchange (the
“Exchange”). The securities issued to GoldMining are subject to a four-month hold period ending on May
19, 2024 in accordance with applicable securities laws and the policies of the Exchange.
GoldMining, a shareholder owning over 2 0% of the outstanding common shares, was issued 10,000,000
shares through the Share Issuance Payment. Prior to the closing of the Share Issuance Payment, GoldMining
held, and had control and direction over, 16,670,250 common shares and 1,488,100 warrants of the
Company exercisable into 1,488,100 common shares, representing approximately 20.6% of the Company’s
outstanding common shares on an undiluted basis and approximately 22.1% on a partially -diluted basis
assuming the exercise of the warrants held by GoldMining. On completion of the Share Issuance Payment,
GoldMining holds, and has control and direction over, 26,670,250 common shares and 1,488,100 warrants,
representing approximately 29.4% of the Company’s outstanding common shares on an undiluted basis and
approximately 30.5% on a partially-diluted basis assuming the exerc ise of the w arrants held by
GoldMining.
Figure 1 – Nutmeg Mountain District Map To view image please click here
Note 1: Nutmeg Mountain – 2023 Mineral Resource Estimate
Details of the MRE are provided in a technical report entitled “ Technical Report on the Nutmeg Gold
Property” with an effective date of June 22, 2023, prepared in accordance with National Instrument 43-101
(“NI 43-101”) standards, which is filed under the Company’s SEDAR+ profile.
Classification Cutoff Grade (g/t) Tonnes Gold Grade (g/t) Ounces Gold
Indicated 0.30 51,660,000 0.61 1,006,000
Inferred 0.30 17,860,000 0.48 275,000
Notes:
1. Effective date of this mineral resource estimate is June 22, 2023.
2. All mineral resources have been estimated in accordance with Canadian Institute of Mining, Metallurgy and
Petroleum definitions, as required under NI 43-101. The Mineral Resource Statement was prepared by Greg
Mosher, P. Geo (Global Mineral Resource Services, “GMRS”) in accordance with NI 43-101.
3. Mineral Resources reported demonstrate a reasonable prospect of eventual economic extraction, as required
under NI 43 -101. Mineral Resources are not Mineral Reserves and do not have demonstrated economic
viability. There is no certainty that all or any par t of the estimated Mineral Resources will be converted into
Mineral Reserves. The potential development of the Mineral Resources may be materially affected by
environmental, permitting, legal, marketing, and other relevant issues.
4. Mineral Resources are reported at a cut -off grade of 0.30 g/t Au for an open -pit mining scenario. Cut -off
grades are based on a price of US$1750/oz gold, and a number of operating cost and recovery assumptions,
including a reasonable contingency factor. Me tallurgical recoveries of 80% were used. Densities based on
lithology were assigned.
5. Ounce (troy) = metric tonnes x grade / 31.10348. All numbers have been rounded to reflect the relative
accuracy of the estimate.
6. The quantity and grade of reported Inferred Mineral Resources are uncertain in nature and there has not been
sufficient work to define these Inferred Mineral Resources as Indicated or Measured Mineral Resources. It
is reasonably expected that many of the Inferred Mineral Resources could be upgraded to Indicated Mineral
Resources with continued exploration, however, there is no assurance that further exploration will result in
all or any part of the Inferred Mineral Resources being converted into Indicated Mineral Resources.
7. Tonnages and ounces in the tables are rounded to the nearest thousand and hundred, respectively. Numbers
may not total due to rounding.
ON BEHALF OF THE BOARD
“Signed”
Brandon Bonifacio, President & CEO
For further information, please contact Brandon Bonifacio at [email protected], call 604-337-
4997, or visit our website at www.nev-gold.com.
About the Company
NevGold is an exploration and development company targeting large-scale mineral systems in the proven
districts of Nevada and Idaho. NevGold owns a 100% interest in the Limousine Butte and Cedar Wash gold
projects in Nevada and the Nutmeg Mountain gold project in Idaho.
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.
Cautionary Note Regarding Forward Looking Statements
This news release contains forward -looking statements that are based on the Company’s current expectations and
estimates. Forward-looking statements are frequently characterized by words such as “plan”, “expect”, “project”,
“intend”, “believe”, “anticipate ”, “estimate”, “suggest”, “indicate” and other similar words or statements that
certain events or conditions “may” or “will” occur. Forward-looking statements include, but are not limited to, the
final approval of the Exchange to the Share Issuance Payment and further exploration and development work on the
Nutmeg Mountain project, estimates of mineral resources, and the potential upgrade of inferred mineral resources to
indicated mineral resources . Such forward-looking statements involve known and unknown risks, uncertainties and
other factors that could cause actual events or results to differ materially from estimated or anticipated events or
results implied or expressed in such forward -looking statements. Such risks include, but are not limited to, general
economic, market and business conditions, and the ability to obtain all necessary regulatory approvals. There is some
risk that the forward -looking statements will not prove to be accurate, that the management’s assumptions may not
be correct or that actual results may differ materially from such forward -looking statements. Accordingly, readers
should not place undue reliance on the forward-looking statements. Any forward-looking statement speaks only as of
the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any
intent or obligation to update any forward-looking statement, whether as a result of new information, future events or
results or otherwise. Forward -looking statements are not guarantees of future performance and accordingly undue
reliance should not be put on such statements due to the inherent uncertainty therein.