Transatlantic Mining Announces Reinstatement, Status of Mali Repayment and Private Placement Update
April 6, 2016 TSX Venture Exchange
Trading Symbol: TCO
Vancouver, British Columbia
Transatlantic Mining Corp (TSX.V: TCO) (the “Company”) provides the following update.
REINSTATEMENT
Trading in the Company’s shares on the TSX Venture Exchange (the “Exchange”) is expected to resume at the open on April 8, 2016.
STATUS OF MALI REPAYMENT
At the request of the Exchange, the Company provides the following update with respect to the $1,000,000 plus interest owed to it by Tassiga Ltd. (the “Tassiga Obligation”) as a result of the termination of the agreement dated July 1, 2014 for the acquisition of the Mali property, West Africa (the “Mali Agreement”), originally announced in news releases of December 29, 2014, and March 2, 2015. The Tassiga Obligation is secured by a promissory note and Tassiga’s agreement to pledge shares of Sahara Manganese Ltd., a Tassiga subsidiary that beneficially owns the Mali property. The Company has not, at this time, commenced any specific action to exercise on the security, however since the termination of the Mali Agreement the Company has attempted to secure repayment of the Tassiga Obligation by various means. Members of the Company’s Board of Directors have attended several meetings in Europe with principals of Tassiga to negotiate a suitable repayment structure. Several proposals have been discussed, however the Company does not consider any of the proposed arrangements to be suitable in light of the current business strategy and direction of the Company. The Company has also consulted with legal advisors with a view to enforce its right to repayment, and continues to pursue that avenue as a potential means of securing repayment of the full amount owing. The Company is also seeking to broker a deal between Tassiga and several parties interested in the Mali property, with a view to recovering the amount of the Tassiga Obligation from the proceeds of any purchase and sale that might result. The pursuit of these various courses of action is ongoing, and while the Company is hopeful that recovery can be achieved, the very difficult resource and financing markets for junior companies make it difficult to predict the outcome of these efforts with any certainty.
PRIVATE PLACEMENT UPDATE
The Company’s private placement of 2,000,000 units at $0.10 per unit, originally announced July 21, 2015, has now been fully subscribed. Application has been made to the Exchange for final approval and a closing announcement will be made once approval has been received. Company insiders will participate in the placement to the extent of 12,183,420 units.
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About Transatlantic Mining Corp
Transatlantic Mining Corp. is a mineral exploration company focused on becoming the next diversified industrial metal producer. The Company’s holdings include an option to earn an 80% interest in AMCOR’s Monitor Copper, Gold and Silver project in the Coeur D’Alene Mining District in Idaho.
For further information contact Rob Tindall at (604) 424 8257.
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.