GOWEST GOLD LTD - GWSAF STOCK NEWS

Gowest Gold (TSXV: GWA) has obtained final court approval for its previously announced go-private transaction. The arrangement, approved by shareholders and warrantholders on September 5, 2024, involves a group of existing shareholders acquiring all outstanding common shares not already owned by them for $0.15 per share in cash.

The transaction is expected to close around September 19, 2024, subject to customary closing conditions. Upon completion, Gowest's shares are anticipated to be delisted from the TSX Venture Exchange. This move represents a significant change in the company's ownership structure and public status.

Gowest Gold (TSXV: GWA) announced that its shareholders and warrantholders have approved the previously announced plan of arrangement for a go-private transaction. The Acquiring Group proposes to acquire all outstanding shares not already owned by them for $0.15 per share in cash. The special resolution was approved by the required majorities, including a two-thirds vote of shareholders and warrantholders, a two-thirds vote of shareholders alone, and a majority of minority vote. The arrangement remains subject to court approval, with the final order hearing scheduled for September 13, 2024. If all conditions are met, the transaction is expected to close around September 19, 2024.

Gowest Gold announced a definitive agreement with a group of existing shareholders to go private. Minority shareholders will receive $0.15 per share, a 114% premium on the last closing price.

The acquiring group holds 91.5% of Gowest's shares and includes Lush Land Investment, Greenwater Investment, and others. The transaction, valued at approximately $8.52 million, is structured as an amalgamation under Ontario law, leading to Gowest's delisting from the TSX Venture Exchange.

The deal requires approvals from shareholders and is exempt from formal valuation under MI 61-101. Gowest's board, guided by a special committee, unanimously recommended the transaction, supported by a fairness opinion from Eight Capital.

Gowest Gold has secured a loan agreement with 15748593 Canada for up to $10 million. This funding will be used for working capital, an exploration program, and preparing the Redstone Mill for milling Gowest ore. Each loan tranche will be a minimum of $500,000, bearing an interest rate of 12% annually, due by December 31, 2025. The loan is unsecured and can be prepaid without penalty. This agreement, pending TSX Venture Exchange approval, follows a toll milling agreement with Northern Sun Mining for processing ore from Gowest's Bradshaw mine.

Gowest Gold has entered a toll milling agreement with Northern Sun Mining to process ore from its Bradshaw mine at Northern Sun's Redstone mill in Timmins, Ontario. The agreement, effective June 7, 2024, covers one year and includes provisions for Gowest to pay operating and capital costs plus a fixed fee per tonne. Northern Sun can match any competitive third-party offers. Gowest can terminate the agreement if it fails to secure financing to restart mining at Bradshaw in 2024. This deal is part of Gowest's strategy to resume operations at Bradshaw. CEO Dan Gagnon expressed optimism about the partnership's potential.

Gowest Gold provided an update on its Phase 2 diamond drilling program at the North Timmins Gold Project, completing 12,769 meters of drilling as of April 30, 2024. Highlights include 13.6 grams per tonne (g/t) gold over 1.1 meters from hole GW23-352 and 23.2 g/t gold over 1.5 meters in hole GW24-351A. The program, part of a $10 million exploration effort, aims to expand resources at the Bradshaw Gold deposit and test other areas of the NTGP. The Sheridan, Roussain, and Bradshaw zones are the primary targets, with promising results indicating potential for new mines. The program is expected to be completed in November 2024.

Gowest Gold provides an update on its Phase 2 Diamond Drilling Program at the North Timmins Gold Project. The company reports significant gold intercepts, including 13.6 g/t Au over 1.1m, as part of a $10 million exploration program aiming to expand resources and potentially develop new mines. The Phase 2 drilling program targets the Bradshaw deposit, Sheridan Zone, and Roussain Zone.