April 2, 2020
We are pleased to update our shareholders on the progress of our company and its ongoing efforts to complete the going public transaction and maiden drill program.
We are especially pleased to report that we have received approval from the TSX Venture Exchange (the “Exchange”) with respect to Kuta Ridge’s NI 43-101 report and have also received Exchange approval of the valuation for the spinout shares to be distributed to shareholders of Orefinders Resources Inc. (“Orefinders”) upon listing of our company. These two key milestones were of critical importance and ended up taking longer than anticipated. Delays were largely due to minor technical clarifications as well as response time from the Exchange. With these milestones behind us, our next objectives are to complete our Plan of Arrangement with Orefinders and the public round of financing, which would close contemporaneously with the spin off from Orefinders and concurrent public listing.
Prior to the PDAC convention, our team initiated the early stages of marketing the financing to various sophisticated investors, however, these efforts have been temporarily put on hold due to the ongoing COVID-19 situation. While the macro environment appears to be quite promising for gold, the practicalities of marketing financings are not possible due to investors and institutions not accepting meetings. Our team is monitoring this situation closely and is prepared to act when the window of financing opportunity opens. When circumstances change, we will be well prepared to act quickly to proceed as planned with our going public process and subsequent drill programs. An overview of the going public milestones is provided below:
|Minimum Spend as per Listing Requirements||Approved|
|NI 43-101 Report||Approved|
|ORX-PP Share Exchange Valuation||Approved|
|Name Change to Pacific Precious Inc.||Completed|
|License Renewal||Submitted Approval Pending|
|2020 Financing / Going Public Process||On Standby Waiting for Market Conditions|
Together with this brief update, we are including our most recent corporate presentation which outlines our marketing strategy for the financing. We would also like to direct you to our website www.PacificPrecious.com which has been updated.
While Pacific Precious’ and most exploration companies’ plans are temporarily on hold, we believe the environment for high quality exploration projects like Kuta Ridge to be very well received as the COVID-19 effects fade and the world’s economies are left with the aftereffects of the prevailing monetary policy and its consequences for gold. We believe Pacific Precious will be in a favourable position towards the latter part of 2020.
We welcome your feedback and participation on all fronts, and I am available to speak with you at your convenience at the contact information below.
Charles Beaudry, M.Sc., P.Geo., géo.
CEO and Director, Pacific Precious