Victory Metals Nevada King merger to create major gold company in Nevada


Victory Metals Nevada King merger : Canadian mining company Victory Metals has signed a binding letter agreement to acquire Nevada King in a move to create a major gold explorer and developer in Nevada, US.

The combined company will exclusively focus on the Battle Mountain Trend, which is considered to be a prolific gold trend.

Nevada King is also a Canada-based company. It owns 100% of the historic producing Atlanta gold-silver mine, located 100km southeast of Ely, Nevada.

Victory Metals, on the other hand, fully owns the Iron Point vanadium-gold project, which is situated 35km east of Winnemucca, Nevada. In May 2019, Victory Metals entered into an option agreement with Ethos Gold under which the latter can earn a 50% interest in the gold and silver rights at the Iron Point by spending CAD5 million over three years.

Both the Atlanta gold-silver mine and the Iron Point Vanadium Project are in development stage.

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The merger will be executed based on a statutory plan of arrangement under which all the Nevada King Shares will be exchanged for Victory Metals shares. The shareholders of Nevada King will hold 50% stake in the enlarged Victory Shares following the completion of the merger.

Collin Kettell – Executive Chairman of Nevada King, commenting on Victory Metals Nevada King merger, said: “We are very excited to be able to bring Nevada King’s project portfolio public through this transaction with Victory. Our team has spent five years staking and consolidating one of the largest land packages in Nevada’s Battle Mountain Trend, North America’s most endowed gold belt.

“We kicked off this strategy before the recent resurgence in interest in gold and were able to successfully acquire highly strategic project areas prior to the recent influx of competitors.”

The enlarged Victory Metals will also own a portfolio of exploration projects in the core of the Battle Mountain Trend. These include Golconda Gold, Lewis, Horse Mountain-Mill Creek, Hilltop South, Cedars-Carico Lake, Buffalo Valley, Kobeh Valley, and Evana.

Victory Metals Nevada King merger

Portfolio of projects created through the Victory Metals Nevada King merger. Image courtesy of CNW Group/Victory Metals Inc.

According to Victory Metals, the exploration projects have seen considerable historic exploration by various major mining companies and in many cases, are in proximity to large gold resources or operating mines.

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Commenting on Victory Metals Nevada King merger, Paul Matysek – Executive Chairman of Victory Metals, said: “We are thrilled to transform Victory into a new Nevada-focused gold company with a diverse portfolio of development and exploration assets.

“Nevada King was an early mover and has been very successful in accumulating large strategic district scale gold projects in one of the best addresses globally for the discovery of large gold deposits.

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“We are particularly impressed with their property acquisition strategy which is based on decades of on the ground experience and scientific rigor in understanding the controls of gold mineralization in the Battle Mountain Trend.”

Paul Matysek said that upon completion of the Victory Metals Nevada King merger, the combined company will focus on further drilling at the Altanta gold-silver mine to re-categorize resources and expand the current gold resource.

Plans after completion of the Victory Metals Nevada King merger

At the Iron Point vanadium-gold project, the enlarged Canadian mining company will focus on completing the maiden vanadium resource estimate, besides continuing to work with Ethos Gold to refine targeting for a deep Carlin-type deposit.

Post closing of the Victory Metals Nevada King merger, the enlarged company will also focus on developing and prioritizing drilling on some of the most promising target areas with considerable gold mineralization historically identified in the project areas.

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