A total of 22 million Mutiny Gold shares have now been issued to the $1 billion market-capped Toronto company.
Mutiny Gold managing director, John Greeve said the issue of shares recognised a critical milestone in the development of the low cost, high value Deflector gold-copper project in Western Australia.
"At a time when global financial markets were facing historically difficult times and project funding had almost dried up for small miners, to have put together this deal with Sandstorm Gold Ltd was a major success story for Mutiny Gold and its supporters," Greeve said.
Mutiny Gold was advised by Noah's Rule who introduced Sandstorm which led to the company's first metals purchase agreement.
The US$43 million MPA with Sandstorm will fund a significant portion of the Deflector capital costs.
The agreement will allow Mutiny to put in place a number of key financing aspects for the Deflector development and to provide additional certainty to the Company's bankers.
Mutiny's principal lender Credit Suisse, with an existing A$11 million loan facility, is currently finalising the provision of approximately A$50 million in funding.
Credit Suisse would provide debt finance of A$25 million, with the remainder to be provided by a leading Australian bank as part of the proposed total A$102 million Deflector funding package.
John Greeve said, "Tied in with the quality drilling results we achieved last year, the subsequent significant increase to our JORC figures, the very robust outcomes of the Deflector Definitive Feasibility Study (NYSE:DFS), Mutiny Gold is well on track to achieve a number of major goals this year on the way to commercialising what is a very valuable asset at Deflector and then stepping up our plan to become a major new mining house with a number of nearby developments."
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