Page 28 G o w est B y K e vin V inc ent I t s been a long haul f or Gr eg R omain but ther e is ligh t a t the end of the tunnel T he onagain ofagain G o w est G old Br adsha w pr ojec t just nor th of the cit y of T immins has new lif e and a t er msfr iendly A sian in v est or Gr eg R omain G o w est P r esiden t and CEO t old a T im mins audienc e Januar y 23r d tha t his boar d of dir ec t ors and in v est ors ar e optimistic tha t the nec essar y pr oduc tion and milling per mits will be in plac e b y July of this y ear and full pr oduc tion within the f ol lo wing 12 mon ths T he c ompan y w as facing a number of challenges in 2019 holding it back fr om pr oduc tion F irst they needed t o c omplet e a cust ommilling ag r eemen t with Nor ther n Sun M ining C or p t o pr oc ess the Br ad sha w or e I n addition they needed t o e x ecut e a cr edit ag r eemen t with Gr een w a t er I n v estmen t Hong Kong Limit ed A nd lastly G o w est had t o fnaliz e a settle men t with PGB T immins Holdings LP I n 2016 PGB c on tr olled b y P andion M ine F inanc e pr o vided G o w est with U S 176 million t o c o v er de v elopmen t c osts a t the sit e 42k m nor theast of T im mins T he ag r eemen t included a pr e paid f or w ar d gold pur chase of 65805 ounc es I n mid O c t ober G o w est and PGB announc ed they had c omplet ed their ag r eemen t which they outlined t w o mon ths ear lier G o w est paid PGB U S75 million c omplet ing their deal with one another T he par ties ar e no w fully and fnally r eleased in r espec t of an y and all claims and other ma tt ers ar ising in r espec t of the P r e P aid F or w ar d G old P ur chase A g r eemen t da t ed as of D ec ember 16 2016 en t er ed in t o bet w een PGB and G o w est sta t ed the c ompan y in their O c t ober 2019 new s r elease A s soon as the c ompan y announc ed the c onclusion of the PGB deal it also announc ed a new deal with Gr een w a t er f or U S 70 million T he c ompan y used tha t money along with cash t o c omplet e its settlemen t with PGB S tar ting in M a y 2021 Gr een w a t er will r ec eiv e 33 equal and c onsecutiv e mon thly cash pa ymen ts of U S376080 A c c or ding t o the ag r eemen t G o w est is not obliga t ed t o pa y do wn an y pr incipal or in t er est un til M a y 2021 Gr een w a t er has also ag r eed tha t G o w est can postpone the pa ymen t schedule b y an additional six mon ths W hile the t er ms of the ag r eemen t ar e fr iendly should the c ompan y default Gr een w a t er can also e x ecut e a lien against 100 of the Br adsha w assets T hen c ompan y e x ecutiv es tur ned their a tt en tion t o their cust om milling ar r angemen ts G o w est t er mina t ed an ag r eemen t with QMX G old C or por a tion of V al D Or Q ue bec and simultaneously announc ed a new ag r eemen t with Nor ther n Sun s R edst one M ill based in T immins G o w est is hoping t o pr oc ess as much as 30000 t onnes of bulk sample or e G o w est and Nor ther n Sun needed t o ensur e tha t the idle R edst one M ill c ould oper a t e ef ec tiv ely so G o w est ag r eed t o set aside 200000 CDN per mon th as a standb y f ee while also ag r eeing t o c o v er the mill s oper a ting c osts when Br adsha w or e w as not being pr oc essed R edst one w as or ig inally desig ned in 2006 t o handle nickel G o w est P r esiden t CEO Gr eg R omain said in O c t ober W e ar e pleased t o ha v e the PGB settlemen t behind us so tha t w e can r etur n our a tt en tion t o dev eloping Br adsha w W ith the r ec en t new pr iv a t e Chinese o wnership of Nor th er n Sun G o w est can no w look f or w ar d t o pr oc essing ma t er ial fr om Br adsha w a t the R edst one M ill the mill which w e believ e is best suit ed f or our needs W e look f or w ar d t o w or k ing with and c on tinuing t o adv anc e our r ela tionship with the new o wners of Nor ther n Sun L o ok ing ahead t o a fr uitful 2020 Page 28 G r eg Romain G o w est P r esiden tCEO Page 29 W ith PGB Gr een w a t er and the Nor ther n Sun it ems in its r ear view mir r or G o w est c ould no w c onc en tr a t e on r aising additional oper a ting funds T he c ompan y w en t look ing f or U S6 million b y issuing 20 million shar es a t t w en t y c en ts each plus nine million fo w thr ough shar es T en da y s la t er the c ompan y announc ed tha t just o v er U S2 million of its 6 million tar get had been r eached in a pr iv a t e plac emen t T he pr oc eeds of the P r iv a t e P lac emen t will be used b y the C ompan y f or the c on tinued dev elopmen t of its 100 o wned Br adsha w G old D eposit and f or w or k ing capital pur poses T he pr oc eeds der iv ed fr om the sale of the FT Units will be used f or C anadian e xplor a tion e x penses A t the Januar y 2020 open house ev en t in T im mins R omain upda t ed a tt endees on sev er al t op ics A mong other things he said G o w est is fnalizing their I mpac t B eneft A g r eemen ts with the ar ea s F irst Na tions g r oups and thanks t o their en vir on men tal c onsultan ts T imminsbased Blue Her on En vir onmen tal their En vir onmen tal C omplianc e A p pr o v al EC A and per mits t o take w a t er ha v e been appr o v ed O ur in v est ors w an t t o see tha t onc e w e star t pr o duc tion w e w on t st op R omain said T he plan is t o star t slo wly and deliber a t ely with 600 t ons per da y with a mid t er m plan t o bump tha t up t o 1500 t ons per da y T he c ompan y s 500page closur e plan is no w public and R omain and his t eam ar e c onfden t tha t G o w est will be the r eg ion s ne x t pr oduc er G o w est is a C anadian gold e xplor a tion and dev elopmen t c ompan y f ocused on the delinea tion and dev elopmen t of its 100 o wned Br adsha w G old D eposit Br adsha w on the F r ankfeld P r oper t y par t of the C ompan y s Nor th T immins G old P r ojec t NT GP G o w est is e xplor ing additional gold tar gets on its 100squar ek ilometr e NT GP land pack age and c on tinues t o ev alua t e the ar ea which is par t of the pr olifc T immins On tar io gold camp C ur r en tly Br adsha w c on tains a Na tional I nstrumen t 43101 I ndica t ed R esour c e estima t ed a t 21 million t onnes t g r ading 619 g r ams per t onne gold gt A u c on taining 422 thousand ounc es o z A u and an I n f er r ed R esour c e of 36 million t g r ading 647 gt A u c on tain ing 755 thousand o z A u F ur ther based on the P r eF easibil it y S tudy pr oduc ed b y S tan t ec M ining and announc ed on June 9 2015 Br adsha w c on tains M iner al R eser v es M iner al R esour c es ar e inclusiv e of M iner al R eser v es in the pr obable ca t egor y using a 3 gt A u cutof and utilizing a gold pr ic e of US1200 o z t otaling 18 million t g r ading 482 gt A u f or 277 thousand o z A u Page 29 Ea to n T r us ted M i ni ng Solu t io ns Eat on fuels y our continuous impr o v ement giv es y ou confdence in y our oper ations and k eeps y our people and equipment saf e Eat on s r obust por tf olio dr iv es ener g y ef fciency maximiz es uptime and incr eases pr oductivity at ev ery stag e of mining fr om explor ation t o pr ocessing whether under gr ound or on the surf ace Ar ound the w or ld mining o wners and oper at ors count on our exper ts pr oducts and services t o help bet t er manag e costs and capital mitig at e r isk w or k mor e saf ely and impr o v e cost per t on Thunder Ba y Ontar io T el 807 6230966 Sudbury Ontar io T el 7055247955 www eat oncanadaca Contact Us ht tpelectr icalsect or eat oncom20 16ESCAW ebContactMe