(TheNewswire)
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VANCOUVER, BRITISH COLUMBIA – TheNewswire - August 20, 2024 - ESGold Corp. (“ESGold” or the “Company”) (CSE: ESAU, Frankfurt: N2W, OTC: SEKZF), is pleased to provide a corporate update outlining management’s plan for operations over the next 6 to 12 months.
Current market conditions for gold, silver and mica are currently exceptionally strong with projections indicating sustained strength and potential for even greater increases. These three (3) resources are the major biproduct of processing the tailings at the Company’s Montauban Plant and are central to ESGold’s operations.
In July 2023 ESGold commissioned a Preliminary Economic Assessment (“PEA”) that highlighted significant positive value and strong Internal Rate of Return (IRR). Since then, gold has increased by 43% (US$1,750 per ounce to US$2,500 per ounce), silver has risen by 43% (US$21 per ounce to US$30 per ounce) and mica prices have soared by 165% (US$530 per ton from US$200 per ton FOB China) These price increases directly impact the revenue from the project, while operational costs, paid in Canadian dollars, effectively decrease in relative terms..
Given these favorable economic conditions and the advanced stage of the project, the Company is focused on commencing production at Montauban within the next nine (9) to twelve (12) months. To achieve these ambitious targets, the Company has begun mobilizing the necessary resources, equipment and personnel required to take the Montauban Plant into production.
The Company will need to complete two (2) financings. The first is a small equity financing of up to $500,000 that offers an ESGold Unit at a price of $0.10 that is comprised of one (1) common share and one (1) whole warrant priced at $0.15 for a period of a year. This financing is almost complete and is targeted to close on August 31, 2024. The proceeds will be used to prepare the Company to begin construction and develop a focused marketing campaign. Please refer to the Company’s press release dated August 8, 2024 for further details. The Offering is subject to certain conditions including, but not limited to, receipt of all necessary approvals including the approval of the Canadian Securities Commission (the “CSE”).
Brad Kitchen, President of ESGold Stated, “ESGold is in a very unique situation where the Company epitomizes its commitment to ESG initiatives (Environmental, Social and Governance), as it will process tailings to create revenue for its shareholders, while removing harmful toxins from the environment and creating well-paying employment for the community.” Kitchen continued, “It is incumbent upon management not only to take Montauban into production but also make sure the capital markets understand the significant value of the Company. We will use all forms of media to reach not only traditional resource investors but tap into the large and growing community of ESG engaged market participants. Management will actively participate in all forms of marketing from traditional investor shows, increased social media presence, participation in ESG related panels and providing regular detailed information on the Company’s operations.”
The second round of funding will be essentially construction financing. The Company is currently using its team of Investment Banking and Corporate Finance specialists to secure potentially non-dilutive financing. The Company will target to close this round in October or November of this year.
ESGold has secured a C$2.0 million operating credit facility to support the commencement of production at the Montauban Plant. Once construction of the processing circuit is underway, management will shift focus to advancing the underground resource within its expansive 13,116-hectare claim area in Notre-Dame-de-Montauban, Quebec. This includes compiling recent and historical exploration data to create a detailed resource model. ESGold’s geologists will then execute a comprehensive drilling program to gather the necessary data for resource modeling. Management anticipates that this work could extend the operational life of the Montauban Plant by 9 to 12 years, with the potential to access ore of a significantly higher grade than the tailings currently being processed.
Pour une traduction française de ce communiqué de presse, veuillez visiter notre site Web à www.esgold.com.
About the Company
ESGold Corp. is a Canadian environmentally aware resource exploration and processing company. Management has demonstrated expertise in advancing gold exploration projects into acquisition targets, most notably in the province of Quebec. ESGold’s principal restoration and recovery project is the Montauban property situated in Quebec, just 80 kilometers west of Quebec City.
For more information on ESGold Corp. please contact the Company (+1 514-712-1532) or visit the website www.esgold.com for the French version of this press release, for past news releases, 3D model of the Montauban processing plant, media interviews and opinion-editorial pieces. To keep up with what's going on with ESGold please join our shareholders chat room on telegram :https://t.me/+SQeyLoDRjIAwMDVh
On behalf of the Board of Directors,
ESGold Corp.
“Paul Mastantuono”
Chief Executive Officer
“John Stella”
Investor contact
Tel: +1 514-712-1532
Email: info@esgold.com
Neither the Canadian Securities Exchange nor its Regulation Services Provider accept responsibility for the adequacy or accuracy of this release.
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