On April 22, 2022, Barrick Gold Corporation ("Barrick"), through its subsidiary, Bulyanhulu Gold Mine Limited ("Bulyanhulu"), acquired certain prospecting licenses in Tanzania from Mineral Industry Promotion and Consulting Company Limited, a wholly-owned subsidiary of Tembo Gold Corp. ("Tembo") in consideration for: (i) US$6 million; (ii) contingent payments to be based on the inferred, indicated and measured gold mineral resources identified in the areas of land which are covered by the Licenses up to an aggregate amount of US$45 million; and (iii) a requirement for Bulyanhulu to invest a minimum of US$9 million in the licence area over the course of the four years following the completion of the transaction.
Concurrently with the completion of the transaction, Bulyanhulu subscribed for, on a non-brokered private placement basis, 5,518,764 common shares of Tembo at a price of C$0.27 per common share, resulting in a pro forma ownership of 5.5% of Tembo.
Fasken advised Barrick and Bulyanhulu with a team that included John Turner, Bradley Freelan, Johanna Fipke, Florind Polo and Onyi Ubah.
Jurisdictions
- British Columbia
- Tanzania
