The Canadian mining company buys 40% of shares from joint venture partner Radius Inc. for $20,08 million, and takes total control of Trebol and El Pavon gold mining sites in Nicaragua.
B2Gold Corp. and Radius Gold Inc. announced on April 9 the signing of a binding letter agreement pursuant to which B2Gold has agreed, among other things, to acquire a 100% interest in the Trebol and El Pavon gold properties in Nicaragua in consideration of C$20 million, payable in common shares of B2Gold at a price per share equal to the volume weighted average price of B2Gold’s common shares on the Toronto Stock Exchange (“TSX”) for the ten trading days immediately preceding the date of the letter agreement.
Radius Gold Inc. has received final permission to start building the Tambor gold mine in southern Guatemala, and plans to start mining in two or three months.
The Tambor gold mine is a joint venture between Radius Gold Inc. and Kappes Cassiday and Associates (KCA).
KCA has begun construction of the mine, which will start mining operations within two to three months after obtaining permission from the authorities, which was announced on Monday February 27th by Marketwatch.com.
Radius Gold company reached an agreement with Molten Power Corp, under which the second will explore and exploit the geothermal energy concessions of the first.
Under the terms of the agreement, the Canadian company Power Molten Corp may acquire 100% of Radius´s geothermal concessions by issuing 2 million shares.
Additionally, Radius will maintain a 2% royalty on sales of electricity of the first plant to be built in each area.
The company announced it has been granted one geothermal license in Guatemala, and has applications for 6 other potential geothermal fields pending, for a total 200,700 hectares.
Radius entered Guatemala in 2001, and its gold exploration programs were guided in part using the presence of hot springs as an indicator of potential gold-related hydrothermal activity.
Canadian mining corporation Radius calculated how much gold it could extract from its “Tambor” project, in San Pedro Ayampuc.
According to Lorena Álvarez, the figure was included in an environmental impact study presented by “Exploraciones Mineras de Guatemala” (Exmingua), a subsidiary of Radius Exploration Ltd.
“Radius plans to invest $33.7 million … Construction would take between 9 and 12 months, the mine would operate for 5 years, and between 12 and 18 months would be required to close the project”, reported Elperiodico.com.gt.
Radius Gold will invest $4.5 million in gold extraction at its Holly-Banderas mine, in southeast Guatemala.
The company operates two gold mines in Guatemala and one in Nicaragua. It has secured the $4.5 million financing through a non brokered private placement.
Simon Ridgway, the President of Radius said: "We hold a very large land position in a very prospective belt of rocks.
Drilling has begun on the Company's Trebol property (42,193 hectares) located in northeastern Nicaragua, where epithermal gold mineralization is associated with a series of intensively silicified ridges.
The preliminary drill program is being designed to test the sub-surface continuity of the gold grades observed in selected trenches and to give geological and structural information on the geometry and controls on mineralization which will be used to further explore the property.