Ascot Resources Completes Acquisition of IDM Mining Creating a Leading Gold Development and Exploration Company in British Columbia

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Originally Published: March 28, 2019

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Ascot Resources, CVE: AOT

VANCOUVER, British Columbia, March 28, 2019 (GLOBE NEWSWIRE) — Ascot Resources Ltd. (TSX.V:AOT, OTCQX:AOTVF) (“Ascot”) and IDM Mining Ltd. (“IDM”), announce that they have completed their previously announced plan of arrangement (the “Arrangement”) under the Business Corporations Act (British Columbia), pursuant to which Ascot acquired all the issued and outstanding common shares of IDM (each, an “IDM Share”), and, in exchange, shareholders of IDM received 0.0675 of a common share of Ascot for each IDM Share held (the “Transaction”). The Arrangement consolidates Ascot’s Premier gold project (“Premier”) and IDM’s Red Mountain gold project (“Red Mountain”), creating the leading high-grade gold and silver development and exploration company in northwestern British Columbia’s Golden Triangle.

Derek White, President & CEO of Ascot, commented: “The acquisition of IDM bolsters our goal of creating a company with multiple high-quality, high-grade gold resources based near existing infrastructure and the town of Stewart, British Columbia, at the southern end of the Golden Triangle. The combined company has a number of development options and synergy opportunities that aligns with our vision of creating low-cost production, and expanding resource base through future development and exploration in one of the best mining districts in the world. The combined team looks forward to delivering this value and progressing our combined assets for the benefit of all shareholders and stakeholders, including the citizens of Nisga’a Nation, the community Stewart, British Columbia and Hyder, Alaska. We welcome IDM shareholders and employees to Ascot, as we continue to grow and create significant, long-term value.”

“On behalf of the team at IDM, I am grateful for the contributions and support all of our shareholders as we advanced the Red Mountain Project over the past several years through engineering and permitting milestones, as well as exploration success,” said Rob McLeod, former President & CEO of IDM Mining.  “The potential synergies between the two asset bases are very significant, and the combined company hosts the best exploration ground for further high-grade discoveries in the Golden Triangle. I look forward to the revitalization of my hometown of Stewart to support multiple operations and for the growth of Mining as a cornerstone industry for my Nisga’a friends.  Lastly, I am proud of and grateful for our tremendous team at Red Mountain, that has operated safely, efficiently and effectively to find gold in a challenging operating environment.”

Ascot appoints Rob McLeod as Advisor
Mr. Rob McLeod will be retained by Ascot as a consultant to provide transitional advice with respect to his local knowledge and relationship with the Nisga’a Nation. In addition, Mr. Dave Green will be appointed as Ascot’s Mining Manager, and Mr. Ryan Weymark will join as the VP of Project Development.

Andrée St-Germain appointed to Ascot Board
In connection with the closing of the Arrangement, Ascot increased the size of its board of directors to eight, appointing former IDM independent director Ms. Andrée St-Germain. Ms. St-Germain is the Chief Financial Officer of Integra Resources Corp. and is an experienced mining finance executive with an extensive background in banking, mining finance and financial management and most recently received the Young Mining Professionals (“YMP”) Eira Thomas Award. Ms. St-Germain is also a director of Barkerville Gold Mines Ltd.

Delisting of IDM shares
It is expected that the DM Shares will be de-listed from the TSX Venture Exchange and the OTCQB as of the closing of the market on March 27, 2019 and that IDM will cease to be a reporting issuer under applicable Canadian securities laws and will file to suspend IDM’s reporting obligations under U.S. securities laws.

Ascot’s deposits that comprise the Premier project and Red Mountain project are located within separate mineralized trends and have separate NI 43-101 mineral resource estimates (Table 1). The combined resources would include 5.55 million tonnes of measured and indicated resources averaging 7.68 g/t gold (“Au”), totaling 1.37 million ounces gold, with additional inferred resources of 6.35 million tonnes averaging 7.12 g/t gold, totaling 1.45 million ounces gold.

Click here to read complete press release on company website.

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