AP Strategic buys stake in LionGold's former gold project

Singapore

ASIA-PACIFIC Strategic Investments has picked up a stake in LionGold's former Amayapampa Gold Project in Bolivia.

The firm, which is currently in the midst of a reverse takeover deal involving miner Coeur Gold Armenia, bought a 22.3 per cent stake in special purpose vehicle Silvermane Investments for S$6 million. The firm paid S$2 million in cash, and will pay the balance through non-transferrable convertible notes when the mine starts production. The notes will not bear interest and will mature within two years of being issued. They will be cancelled if Silvermane cannot provide evidence of having produced at least 30,000 tonnes of gold by the maturity date.