Elevation Gold Moves Forward with Strategic Asset Sale Plan

Elevation Gold Moves Forward with Strategic Asset Sale Plan

Elevation Gold Mining Corporation (TSX.V: ELVT.H), a noted player in the gold and silver production sector, is actively advancing its strategic plan as part of the Companies' Creditors Arrangement Act (CCAA) process. The company has engaged with its stakeholders to ensure a smooth transition and effective management of its assets during these times.

Recent Developments in the CCAA Process

Previously, Elevation Gold reported significant developments concerning its ongoing CCAA process to the public. An initial order from the Supreme Court granted the Company, along with its affiliates, critical protection under the CCAA framework. KSV Restructuring Inc. has been appointed as the monitor to oversee this process, ensuring compliance and providing guidance through the complexities involved.

Recognizing International Proceedings

The U.S. Bankruptcy Court's acknowledgment of the CCAA process as a foreign main proceeding marks a critical development. This recognition allows Elevation Gold to approach the U.S. legal system for further support and validation of its efforts to stabilize its operations amid changing market dynamics.

Asset Purchase and Sale Agreement

A pivotal move by Elevation Gold is the signing of a purchase and sale agreement with EG Acquisition LLC regarding the sale of specific assets. This transaction focuses primarily on the common shares of Golden Vertex Corp., which currently operates the Moss Mine in Arizona, an asset that holds significant value for the company.

Approval Process and Future Steps

The transaction remains contingent on approvals from the BC Court, with a hearing scheduled to discuss crucial aspects of the agreement and its alignment with corporate objectives. Elevation Gold is poised to advocate for the transaction, highlighting its potential impact on company revitalization and resource optimization.

Anticipated Outcomes of the Transaction

If the transaction receives approval, the next step will involve seeking an order from the U.S. Court to further validate the Canadian court’s decision. This dual-court strategy reflects the company’s commitment to engaging positively with its stakeholders and securing the best outcomes for all parties involved.

Monitoring the Closing Process

Following the approval from both the Canadian and U.S. courts, alongside the TSX Venture Exchange's endorsement, Elevation Gold will proceed with closing the transaction. The successful completion of this process will enable the company to focus on its operational strengths and explore new avenues for growth.

Company Overview

Elevation Gold Mining Corporation is recognized for its role in the acquisition, exploration, development, and operation of mineral properties across the United States. The company’s dedicated workforce operates the Moss Mine, which contributes substantially to its production capabilities. Elevation Gold's strategic focus on premium assets aims to enhance shareholder value and ensure long-term sustainability.

ON BEHALF OF THE BOARD OF ELEVATION GOLD MINING CORPORATION

"Tim J. Swendseid"

Tim J. Swendseid, Chief Executive Officer of Elevation Gold Mining Corporation.

Frequently Asked Questions

What is the current status of Elevation Gold's CCAA process?

Elevation Gold is proceeding with its CCAA process under the guidance of KSV Restructuring Inc., working towards stabilizing its operations.

Who is the purchaser in the recent asset sale agreement?

EG Acquisition LLC is the identified purchaser in the asset sale agreement concerning specific properties held by Elevation Gold.

What assets are being sold by Elevation Gold?

The agreement primarily focuses on the outstanding common shares of Golden Vertex Corp., which manages the Moss Mine.

What approvals are needed for the transaction to proceed?

The transaction requires approval from the BC Court, the U.S. Court, and the TSX Venture Exchange before it can close.

How does this transaction benefit Elevation Gold?

This sale is intended to optimize the company's asset portfolio and strengthen its financial position as it navigates challenging market conditions.

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