Bluebird Merchant Ventures (EPIC: BMV), the Asian focused resource development group is pleased to announce that it has completed its AUD 250,000 Placing into Southern Gold Ltd (“Southern Gold”) to meet the formal Joint Venture agreement on the Kochang Gold and Silver Mine.
- As announced on 13 June 2018, the Company has already commenced its farm-in activities on Kochang to form the Joint Venture partnership. To finalise this partnership agreement with Southern Gold, Bluebird was required to place AUD250,000 into Southern Gold and contribute a minimum of USD 250,000 to produce the feasibility report of reopening the Kochang Mine. This condition is close to being met and a further update will be provided in due course.
- Bluebird has since completed the Placing condition of this agreement.
- The immediate focus for the Company will now be to finalise the feasibility report in the coming weeks, which Bluebird expects will complete the Company’s capital expenditure requirements on the project.
- Following the submission of the feasibility report to Southern Gold, capital expenditure costs will thereafter be shared 50:50 between the two partners, with Bluebird acting as the Operator of the project. This is identical to the recently announced incorporation of the Gubong Joint Venture.
Colin Patterson, CEO, commented:
“We are delighted to have almost completed our farm-in requirements for both Kochang and Gubong. The Board strongly believe that this JV partnership formed with Southern Gold greatly benefits the Company to identify old mines in South Korea which still hold significant value.
“The Bluebird team has worked tirelessly over the past few months on progressing both these projects and as we approach the completion of the feasibility report on Kochang, we are confident that we remain on track to achieve our goal of first gold pour by Q4 2019. We are very pleased with the formidable progress being made at both Kochang and Gubong and look forward to updating the market in due course.”
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION EU 596/2014 (“MAR”)