Galane Gold Ltd. Announces Amendment of Convertible Debentures
TORONTO, ONTARIO – September 30, 2019 – Galane Gold Ltd. (“Galane Gold” or the “Company”) (TSX-V: GG; OTCQB: GGGOF) announces that it has entered into an agreement with a requisite percentage of debenture holders to amend certain terms of its existing US$1.672 million 4% unsecured convertible debentures (the “Debentures”) originally issued in connection with the acquisition of Galaxy Gold Mining Limited in November 2015. Under the terms of the amended Debentures, the maturity date has been extended from November 20, 2019 to November 20, 2021 and in exchange the conversion price of the principal amount of the Debentures has been reduced from CDN$0.58 to CDN$0.20 per common share. The Company recently prepaid US$728,000 of principal of the outstanding US$2.4 million of the original Debentures. The amendments to the Debentures are subject to approval by the TSX Venture Exchange.
Galane Gold CEO, Nick Brodie commented: “The decision to restructure the debentures was made due to the low cost of this unsecured debt. In light of the current change in gold price Galane is looking at how best to use its surplus cash to meet its long-term goals.”
About Galane Gold
Galane Gold is an un-hedged gold producer and explorer with mining operations and exploration tenements in Botswana and South Africa. Galane Gold is a public company and its shares are quoted on the TSX Venture Exchange under the symbol “GG” and the OTCQB under the symbol “GGGOF”. Galane Gold’s management team is comprised of senior mining professionals with extensive experience in managing mining and processing operations and large-scale exploration programmes. Galane Gold is committed to operating at world-class standards and is focused on the safety of its employees, respecting the environment, and contributing to the communities in which it operates.
Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.