Search form

Login - Register | FOLLOW US ON

Logo of Phnom Penh Post newspaper Phnom Penh Post - Angkor Gold confirms $10m partnership deal

Angkor Gold confirms $10m partnership deal

Cambodian firm Angkor Gold Corp (ANK) on Thursday finalised a partnership agreement with Hong Kong firm Tohui Beishan Property Group Holding Limited (TG) worth more than $10.4 million.

According to a company statement issued on the Toronto Stock Exchange, ANK granted the Hong Kong firm 7.9 million shares in the company at $0.285 per share, valued at $2.25 million.

In addition to the share sale, ANK has granted TG the option of purchasing a further 7.9 million shares at $0.5 per share (valued at $3.95 million), and the option to purchase 15 per cent of the gold exploration company’s Cambodian operations for a price tag of $4.28 million.

The June 26 definitive agreement closure announcement comes after the two companies inked the deal in April this year.

“TG also brings a consortium of associates, including Beijing Explo-Tech Engineering Co (BETEC), and the China Chemical Geology and Mine Bureau Shandong Geological Prospecting Institute (SGI),” ANK’s April 14 filing states.

“Angkor shall contract BETEC and SGI to complete specific exploration activities including, but not limited to, specific geophysical activities . . . 80 per cent of the proceeds of the transaction are to fund direct exploration activities in Cambodia.”

ANK’s locally wholly owned subsidiary, Angkor Gold Cambodia, has for the past five year operated gold exploration operations in Ratanakkiri province under seven separate exploration licenses issued by the Cambodian government.

The firm’s exploration area covers more than 1,440 square kilometres of the far northeastern province.

John-Paul Dau, country manager for ANK in Cambodia, said the partnership could potentially expedite the firm’s exploration period.

“The Tohui group have some substantial resources both financially and technically speaking, especially when it comes to geophysics,” Dau told the Post.

“Obviously the more people you have on board during exploration, the closer you can get to actually mining.”



Please, login or register to post a comment

Latest Video

Turkish Embassy calls for closure of Zaman schools

With an attempted coup against the government of President Recep Erdogan quashed only days ago and more than 7,000 alleged conspirators now under arrest, the Turkish ambassador to Cambodia yesterday pressed the govern

CNRP lawmakers beaten

Two opposition lawmakers, Nhay Chamroeun and Kong Sakphea were beaten unconscious during protests in Phnom Penh, as over a thousand protesters descended upon the National Assembly.

Student authors discuss "The Cambodian Economy"

Student authors discuss "The Cambodian Economy"

Students at Phnom Penh's Liger Learning Center have written and published a new book, "The Cambodian Economy".