Which US presidential candidate does gold prefer?
Gold loves chaos and should be hitting new highs, especially with inflation coming down and with it, two rate cuts likely before year’s end.
VANCOUVER, BRITISH COLUMBIA–(Marketwire – Sept. 12, 2011) – Huakan International Mining Inc. (TSX VENTURE:HK) (the “Company”) reports that the deadline for closing of the sale of its Greenwood Gold project assets to Gold Crown LLC has been extended to September 30, 2011. In exchange for granting Gold Crown the extension, Gold Crown has agreed to pay the Company on closing an additional $200,000 per calendar week or portion of any calendar week subsequent to September 2, 2011, which is in addition to the extension payments of $275,000 and $300,000 announced on August 5 and August 23, 2011, respectively. If the sale does not close by September 30, 2011, Gold Crown has agreed to forfeit a total of $1,250,000 that will have been delivered to the Company as a deposit.
Under the terms of the asset purchase agreement, the Company has agreed to sell a 100% interest in its Greenwood Gold Project, located near Greenwood, British Columbia, to Gold Crown in consideration for $5,000,000 and a 2% net smelter returns royalty (subject to reduction to 1% if the price of gold drops below US$1,050) on any ore milled at the Greenwood mill, up to a maximum of $9,000,000 over a ten year period. Gold Crown has agreed to make annual minimum net smelter royalty payments of $500,000 and will make a lump sum payment at the end of the ten year period, if necessary, to bring the total net smelter royalty payments to $9,000,000.
