Emgold Mining Corporation (TSXV:EMR) (‘Emgold') entered into a non-binding letter of intent (‘LOI') to acquire a 51% stake in Golden Arrow Property in Nevada from Nevada Sunrise Gold Corporation (TSXV:NEV) for CAD 0.69 million on December 27, 2017. Emgold will pay a total of CAD 0.28 million in cash which includes payment of CAD 0.04 million at the time of original LOI, CAD 0.03 million at the time of amended LOI and 2.5 million common shares of Emgold. The amended LOI would grant Emgold the sole and exclusive right and option to acquire an undivided additional 29% interest in the Golden Arrow Property, which would be exercisable by Emgold for a period of 36 months from the closing date. On July 13, 2018, Emgold entered into second amended non-binding LOI as per which the purchase consideration was revised to CAD 0.55 million, comprising CAD 0.1 million in cash and 2.5 million common shares of Emgold. The amended LOI provides that Nevada Sunrise would grant Emgold the sole and exclusive right and option to acquire the remaining 49% interest in the property, which would be exercisable by Emgold for a period of 24 months from the closing date for an additional 2.5 million common shares of Emgold. On October 2, 2018, Emgold and Nevada Sunrise Gold Corporation entered into a binding purchase and option agreement regarding the acquisition of the 51% stake. Emgold made a private placement of CAD 0.6 million, subject to TSX Venture Exchange approval, proceeds from which will be used to fund the acquisition. On October 5, 2018, Emgold exercised its right to acquire the remaining 49% stake in the property.

The transaction is subject to financing, regulatory approvals and the satisfaction of certain conditions, including TSX Venture Exchange acceptance and the entry into a definitive sale agreement. On January 23, 2018, the transaction received conditional approval and on October 5, 2018 Emgold received final approval from TSX Venture Exchange.