On May 11, 2015, the Company announced a strategic investment in GSV, a Toronto Venture-listed exploration Company currently drilling in Nevada, United States. At the time, the Company purchased 24,997,661 shares of GSV at a cost of C$0.65 per share through a private placement which equated to a 14.9% equity stake.
The terms of the agreement with GSV included the following provisions:
- the right to request the formation of a Technical Committee of GSV consisting of at least four members with the appointment of one representative by the OceanaGold;
- anti-dilution rights allowing it to maintain its equity ownership interest in GSV;
- following expiry of the statutory hold period of four months plus one day from the closing of the Investment the right to participate in any future equity financings of GSV to acquire up to 19.9% of the then issued and outstanding common shares of GSV;
- a right of first refusal to match any third party offers regarding a tolling arrangement or a non-equity financing for the purpose of funding the future exploration and development of any assets of GSV.
On February 8, 2016, the Company increased its equity position in GSV to 19.9% through the procurement of 13,831,931 shares at a cost of C$1.00 per share.
GSV currently owns the second largest land package in the Carlin trend, one of the most prolific gold belts globally and is currently drilling at its Railroad-Pinion project located just south of Newmont’s Emigrant operation. GSV will continue to test oxide and sulphide mineralisation as it seeks to expand on its current resource.
For more information, please visit the GSV website.