Ashanti Gold Corp (CVE:AGZ) (OTCMKTS:GULSF) confirmed it had received shareholder approval after a special meeting for its sale to Desert Gold Ventures Inc (CVE:DAU) and the transaction is expected to close by the end of May.
The deal is still subject to regulatory approvals and is conditional on Ashanti being granted a new exploration license over the Kossanto East licence area in western Mali, for which yesterday it received a three-month exclusive grant.
READ: Ashanti said it will now file the appropriate paperwork to receive a full seven-year exploration licence
Ashanti said it will now file the appropriate paperwork to receive a full seven-year exploration licence over the Kossanto East licence area.
The deal will mean a combined, bigger, land package for both companies.
Tim McCutcheon, Ashanti’s CEO, has said previously: "This bigger land package encompasses major geological structures in the area, similar to other structures that have given the industry multiple large gold deposits.
"Since the Letter of Intent was announced, investor interest has been high and we look forward to creating value for Ashanti and Desert Gold shareholders through the completion of the business combination."
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