Chalice Gold Mines Ltd. Announces On-Market Share Buy-Back
![Chalice Gold Mines Ltd. Announces On-Market Share Buy-Back](https://www.minenportal.de/media/goldseiten-news.jpg)
Following the sale of the Cameron Gold Project to First Mining Finance Corp. on 10 June 2016, Chalice currently has net financial assets (cash plus investments less current liabilities) of approximately A$61 million (or 21.5 cents per share).
The Board of Chalice is committed to actively managing the Company's capital requirements and believes that an on-market buy-back provides the opportunity to repurchase shares at attractive valuations and deliver value to shareholders at this time given the Company's 20 day Volume Weighted Average Price on the ASX prior to today was 16 cents.
The Board will continue to assess the merits of this capital management initiative as market conditions evolve and will keep the market informed of the buy-back's progress in accordance with ASX listing rules. The buyback is therefore dependent upon market conditions, volumes and other relevant factors.
The earliest date the buyback will commence is Monday, 4 July 2016. Chalice will appoint Bell Potter Securities Limited to act on behalf of the Company in relation to the share buy-back process.
An Appendix 3C in relation to the buy-back is attached here.
The on-market buy-back is not being offered or executed through the facilities of the Toronto Stock Exchange. Residents of Canada who wish to participate should contact Mrs Leanne Stevens, Company Secretary by email at lstevens@chalicegold.com. The on-the-market buy-back is proceeding pursuant to the foreign issuer bid exemption found in applicable Canadian securities laws.
*There is no guarantee Chalice will repurchase the full 28,271,080 shares and the Company reserves the right to suspend or terminate the share buyback program at any time and to buyback less than 28,271,080 shares.
TIM GOYDER
Managing Director
Forward Looking Statements: This document may contain forward-looking information within the meaning of Canadian securities legislation and forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively, forward-looking statements). These forward-looking statements are made as of the date of this document and Chalice Gold Mines Ltd. (the Company) does not intend, and does not assume any obligation, to update these forward-looking statements.
Forward-looking statements relate to future events or future performance and reflect Company management's expectations or beliefs regarding future events and include, but are not limited to, the estimation of mineral reserve and mineral resources, the realisation of mineral reserve estimates, the actual number of shares and price which may be purchased pursuant to the proposed share buy-back plan, the likelihood of exploration success, the timing and amount of estimated future production, costs of production, capital expenditures, success of mining operations, environmental risks, unanticipated reclamation expenses, title disputes or claims and limitations on insurance coverage.
In certain cases, forward-looking statements can be identified by the use of words such as plans, expects or does not expect, is expected, will, may would, budget, scheduled, estimates, forecasts, intends, anticipates or does not anticipate, or believes, or variations of such words and phrases or statements that certain actions, events or results may, could, would, might or will be taken, occur or be achieved or the negative of these terms or comparable terminology. By their very nature forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors may include, among others, risks related to actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of mineral resources; possible variations in mineral resources or ore reserves, grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of development or construction activities; as well as those factors detailed from time to time in the Company's interim and annual financial statements, all of which are filed and available for review on SEDAR at sedar.com. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements.
Accordingly, readers should not place undue reliance on forward-looking statements.
Shares outstanding: 282 million
Fully diluted: 290 million
Contact
Tim Goyder, Managing Director, Richard Hacker, Chief Financial Officer
Chalice Gold Mines Ltd.
Telephone +618 9322 3960