#Canada #Vancouver #mining #Pan Global #Alpayana

Pan Global's New Strategic Investment

Pan Global Resources Inc. (TSXV: PGZ, OTCQB: PGZFF, FRA: 2EU) recently revealed its plans for a non-brokered private placement financing agreement with Alpayana, a strategic investor. This offering mobilizes a total of C$7.2 million from the issuance of 45 million Common Shares, priced at C$0.16 each. Following this deal, Alpayana will possess about 19.9% of Pan Global's outstanding shares, marking an important step in the company’s growth trajectory.

Background on Alpayana's Strategic Involvement

Alpayana is a Peruvian mining entity recognized for its sustainable operations with over 39 years of expertise across Latin America. This investment not only reinforces Alpayana’s existing stake in Pan Global but also accentuates its confidence in the high-potential projects located in Spain.

Tim Moody, the President and CEO of Pan Global, expressed enthusiasm over the strategic investment, emphasizing the opportunity it provides to accelerate operations, particularly at the Escacena and Cármenes projects in Spain. This influx of capital will allow for an extension of the drilling program to 20,000 meters, thus enhancing exploration and resource identification.

Focus on Drilling Expansion

The primary objectives for utilizing the proceeds from this offering include:
1. Cañada Honda: Drilling will focus on extending and expanding the copper-gold deposit. Preliminary findings and geophysical data hint at significant expansion capabilities.
2. Escacena South: The prospective area will undergo enhanced exploration starting with a heliborne geophysics survey, followed by an aggressive drilling campaign. Applications for necessary access and permits are actively in progress.
3. Cármenes Project: The plan includes follow-up drilling to expand the Providencia target along with exploring additional targets identified in recent excursions.
4. General Corporate Purposes: Ensuring operational efficiency and the longevity of existing projects.

About the Escacena Project

The Escacena Project, alongside the recently added Escacena South area, encapsulates over 13,000 hectares of mineral rights under Pan Global’s control within the Iberian Pyrite Belt. This region is known as Europe’s second-largest copper-producing zone, housing rich deposits of copper, tin, and gold. The company has made significant progress at La Romana and Cañada Honda, boasting a variety of prospective targets for follow-up activity.

• - La Romana Resources: Estimates show measured resources of 32.4 million tonnes at 0.37% Cu, alongside a 0.44% CuEq.
• - Cañada Honda: Indicated reserves feature 5 million tonnes with grades reaching 0.65 g/t Au.

Insights on the Cármenes Project

Located near León, the Cármenes Project sits within the highly mineralized Rio Narcea Gold Belt and is anticipated to uncover substantial deposits of copper, nickel, cobalt, and gold. Recent historical mining activities indicate a high likelihood of discovering new ore bodies, with Pan Global’s drilling program already yielding promising results at the Providencia location.

Commitment to Sustainability

Pan Global Resources holds a strong commitment towards safe operations and environmental sustainability. With a team equipped with extensive mining expertise, the company continues to prioritize community well-being, aligning its growth strategies with sustainable practices. The company’s affiliation with the United Nations Global Compact underscores its dedication to corporate responsibility in mine operations.

Conclusion

The recent financial commitment from Alpayana solidifies a promising future for Pan Global Resources, positioning it strategically within the competitive mining landscape in Spain. With enhanced drilling initiatives and a focus on exploration, the company is set to make significant strides in mineral discovery, further enriching the regional economic landscape.