Eskay Mining Corp (TSX-V:ESK, OTCQX:ESKYF) and P2 Gold have mutually agreed to terminate their non-binding letter of intent (LOI) for a business combination, citing current market conditions.
The LOI, initially signed on June 4, 2024, outlined Eskay's plan to acquire P2 Gold in an all-stock transaction.
Despite the termination of the merger agreement, Eskay and P2 will continue to collaborate under an existing exploration services agreement.
The agreement, signed concurrently with the LOI, designates P2 Gold to plan and execute an exploration program on Eskay's Corey property for the 2024 exploration season.
The mobilization of exploration crews to the site is scheduled for this week.