In April, Toronto-based Minera Alamos announced the deal with Prime, which was then known as ePower Metals Inc, in exchange for a stake in the company.
The junior company has acquired 9.45 million shares of Prime at a price of C$0.30 per share and additional warrants to purchase up to 3.35 million shares at C$0.50 per share. The securities issued are subject to a four-month plus one-day holding period beginning December 28, 2019.
Minera Alamos currently owns 16.1% of Prime Mining. The company told investors that it does not intend to make any further investments in Prime but may do so in the future.
The Guadalupe project in Sinaloa, Mexico boasts a mineral resource of 380,000 gold ounces at a grade of 1.7 grams per ton and over 6 million ounces of silver grading at 28.7 grams per ton.
The company envisions Guadalupe as an open pit mine with heap leach processing.
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