Tonogold Eliminates Debt Held by Comstock Mining
Retrieved on:
Monday, April 4, 2022
LA JOLLA, Calif., April 04, 2022 (GLOBE NEWSWIRE) -- TONOGOLD RESOURCES, INC. (OTC: TNGL) ("Tonogold" or "the Company"), a company holding rights to acquire a substantial portion of the mineralized land within the Comstock Mining District, is pleased to announce that, as part of the Company's debt restructuring efforts, it has extinguished its outstanding debt owed to Comstock Mining, Inc. ("Comstock" or "CMI") and restructured its prior agreement with Comstock related to the acquisition of certain mining and exploration assets in the Comstock District, originally announced on January 24, 2019.
Key Points:
- LA JOLLA, Calif., April 04, 2022 (GLOBE NEWSWIRE) -- TONOGOLD RESOURCES, INC. (OTC: TNGL) ("Tonogold" or "the Company"), a company holding rights to acquire a substantial portion of the mineralized land within the Comstock Mining District, is pleased to announce that, as part of the Company's debt restructuring efforts, it has extinguished its outstanding debt owed to Comstock Mining, Inc. ("Comstock" or "CMI") and restructured its prior agreement with Comstock related to the acquisition of certain mining and exploration assets in the Comstock District, originally announced on January 24, 2019.
- Tonogold and Comstock have executed an option agreement providing for the elimination of all of the Company's $6,650,000 debt owed to Comstock.
- The Company incurred this debt in connection with the prior purchase of 100% of the membership interests in Comstock Mining LLC, the entity that owns the Lucerne Mine and mineral resource within the Comstock Mining District.
- The option to re-acquire Comstock Mining LLC can be exercised by the Company at any time prior to the expiration of the option by paying CMI $7,750,000.