Golden Spike Closes Proceeds to Debt Settlement Transaction

Rhea-AI Summary

Golden Spike Resources Corp. (CSE: GLDS) (OTCQB: GSPRF) (FSE: L5Y) has entered into a debt settlement agreement with an arm's length third party, issuing 562,500 common shares at a deemed price of $0.08 per Share to settle a total indebtedness of CAD$45,000. The Company chose to settle the debt with shares to preserve cash for operations, pending approval from the Canadian Securities Exchange.

Vancouver, British Columbia--(Newsfile Corp. - December 6, 2023) - Golden Spike Resources Corp. (CSE: GLDS) (OTCQB: GSPRF) (FSE: L5Y) ("Golden Spike" or the "Company") announces that it has entered into debt settlement agreement with an arm's length third party of the Company, pursuant to which the Company has agreed to issue an aggregate of 562,500 common shares (each, a "Share") at a deemed price of $0.08 per Share, to settle a total indebtedness of CAD$45,000 (the "Transaction").

The Company determined to satisfy this outstanding indebtedness with Shares to preserve its cash for operations. The Transaction is subject to the approval of the Canadian Securities Exchange. All Shares issued pursuant to the Transaction will be subject to a four-month and one-day hold period.

About Golden Spike

Golden Spike Resources Corp. (CSE: GLDS) (OTCQB: GSPRF) (FSE: L5Y) is a Canadian mineral exploration company focused on identifying, acquiring and unlocking value in mineral opportunities in Canada and other low-risk jurisdictions. The Company currently holds 100% interest in the 3,425-hectare Gregory River Property in Newfoundland, strategically centered over an approximate 11-kilometer-long stretch of the Gregory River VMS-belt, a north-northeast trending corridor of very prospective ground with potential to host Cyprus-type polymetallic VMS deposits. In addition, the Property hosts a cluster of historically explored, high-grade, copper ±gold vein structures.

ON BEHALF OF THE BOARD OF DIRECTORS

Keith Anderson, President and CEO
Golden Spike Resources Corp.
830 - 1100 Melville St., Vancouver, BC, V6E 4A6
+1 (604) 786-7774
info@goldenspikeresources.com; www.goldenspikeresources.com

"Neither the Canadian Securities Exchange (the "CSE") nor its Regulation Services Provider (as that term is defined in policies of the CSE) accepts responsibility for the adequacy or accuracy of this release."

Cautionary Note Regarding Forward-Looking Statements

This release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking statements relate to future events or future performance and reflect the expectations or beliefs of management of the Company regarding future events. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends" or "anticipates", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should", "would" occur.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/190083

FAQ

What is the debt settlement agreement announced by Golden Spike Resources Corp. (GLDS)?

Golden Spike Resources Corp. (GLDS) entered into a debt settlement agreement with a third party, issuing 562,500 common shares at a deemed price of $0.08 per Share to settle a total indebtedness of CAD$45,000.

Why did Golden Spike Resources Corp. (GLDS) choose to settle the debt with shares?

The Company decided to settle the debt with shares to preserve its cash for operations.

What is the hold period for the shares issued in the debt settlement agreement by Golden Spike Resources Corp. (GLDS)?

All shares issued pursuant to the debt settlement agreement will be subject to a four-month and one-day hold period.

What is the purpose of the debt settlement agreement for Golden Spike Resources Corp. (GLDS)?

The purpose of the debt settlement agreement is to settle outstanding indebtedness with a third party, preserving cash for operations.

What is the approval required for the transaction announced by Golden Spike Resources Corp. (GLDS)?

The transaction is subject to the approval of the Canadian Securities Exchange.