HighGold Mining Inc (TSX-V:HIGH, OTCQX:HGGOF) has announced that shareholders have approved a proposed plan of arrangement that will result in it spinning out its Canadian assets comprising its Ontario and Yukon exploration properties into a new Canada-focused exploration company, Onyx Gold.
Under the arrangement, which received 99.6% support at the company’s annual general and special meeting held on May 30, 2023, HighGold shareholders will receive one share in Onyx Gold for every four HighGold shares they hold.
The arrangement is expected to become effective on or about June 6, subject to a final order from the Supreme Court of British Columbia and final acceptance by the TSX Venture Exchange, the company said in a statement.
HighGold also said it plans to upsize Onyx Gold’s concurrent financing to C$7 million from C$5 million, due to strong demand for the offering.
HighGold is a mineral exploration company focused on high-grade gold projects located in North America. Its flagship asset is the high-grade Johnson Tract Gold-Zinc-Copper Project located in an accessible area of Southcentral Alaska, USA. The company also controls one of the largest junior gold miner land positions in the Timmins, Ontario gold camp. This includes the Munro-Croesus Gold property, which is renowned for its high-grade mineralization, and the large Golden Mile and Timmins South properties.
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