TORONTO - Lake Shore Gold Corp. (TSX:LSG) says it has acquired 26.3 per cent of the outstanding shares of RT Minerals Corp. and now holds a 41.6 per cent stake in the junior mining company.
Lake Shore said Wednesday it purchased 7.5 million common shares of RT as well as warrants to acquire an additional 7.5 million common shares at an exercise price of 20 cents per share.
RT's shares are currently trading at 30 cents on the Canadian National Stock Exchange, a Canadian-based market for emerging companies.
Lake Shore also said it has entered into a strategic alliance agreement with RT which gives it the right to participate pro rata in any future equity financings by RT, a right to nominate two directors to RT's board, right of first refusal if RT seeks to sell or joint venture any of its properties, and an option to acquire a 50 per cent interest in RT's Golden property near Timmins, Ont.
In November, Lake Shore acquired West Timmins Mining Inc. and its Thunder Creek project. Lake Shore also owns other mining properties in Ontario, Quebec and Mexico.
Besides the Golden property, RT also owns the Godbout uranium property in Quebec.
Shares in Lake Shore fell six cents to $4.06 in Wednesday trading on the Toronto Stock Exchange.
Lake Shore Gold acquires 26 per cent of RT Minerals for total stake of 42 per cent
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Published on
January 7, 2010
- Published on February 25, 2010
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