US$24 million financing through the sale of a Royalty to Appian Capital Advisory Limited, supporting the advancement of the Goldboro Gold Project in Nova Scotia. Summary details of the Royalty include:
US$24 million upfront payment in cash;
2.9% of net smelter returns revenue of all minerals produced on the Goldboro Gold Project up until a threshold of 1.25mm oz of gold or gold equivalent is achieved, after which time the Royalty is only payable on gold;
Option, solely at the discretion of the Company, to buy back 1.9% of the Royalty, subject to certain timing and payment thresholds being met; and
Use of Royalty to pay off Nebari US$12 million debt facility and buy back 0.6% NSR held by Nebari, deleveraging NexGold from all debt and providing a clean balance sheet to advance the Company.
The transaction is subject to customary closing conditions and is expected to close towards the end of September 2025.
Non-Binding Letter of Intent with Appian, with significant due diligence already completed, for a Senior Secured Credit Facility of up to US$175 million for the development and construction of the Goldboro Gold Project.
TORONTO, Sept. 25, 2025 (GLOBE NEWSWIRE) -- NexGold Mining Corp. (TSXV:NEXG; OTCQX: NXGCF), (TSXV: NEXG; OTCQX:NXGCF) ("NexGold" or the "Company") is pleased to announce that, on September 24, 2025, it entered into a royalty agreement with an affiliate of Appian Capital Advisory Limited ("Appian") in relation to the Company's 100% owned Goldboro gold project (the "Project"). Under the terms of the agreement, Appian will pay Goldboro Gold Mines Inc. (the subsidiary of NexGold holding title to the Project) ("GGM") consideration of US$24 million for a 2.9% net smelter returns royalty (the "Royalty") covering all minerals produced from the Project up until 1,250,000 ounces of gold or gold equivalent is achieved, and thereafter only covering gold, for the life of the Project. Further details are set out below under "Royalty Transaction Details". The transaction is subject to customary closing conditions (including the approval of the TSX Venture Exchange ("TSXV")) and is expected to close towards the end of September 2025.
Additionally, the Company has signed a non-binding letter of intent ("LOI") with Appian for a senior secured credit facility of up to US$175 million from certain funds advised by Appian for the development and construction of the Company's 100% owned Goldboro Gold Project.
Kevin Bullock, President & CEO of NexGold, commented: "We are excited to announce this strategic partnership with Appian, a leading investor in metals and mining with a track record of identifying and supporting the development of high-quality assets. Appian has undertaken an extensive due diligence process on the Goldboro Gold Project and this royalty financing provides NexGold with important non-dilutive capital to help advance Goldboro towards construction, as well as deleveraging the balance sheet. The structure of the agreement allows us to retain future flexibility, including the option to buy back a significant portion of the Royalty and pursue future financings when necessary. We are also pleased to have signed an LOI to work towards project financing with Appian, which will assist in taking Goldboro through construction and into operations."
Royalty Transaction Details
The Company, GGM and Appian have entered into a binding royalty agreement, subject to certain closing conditions (including the approval of the TSXV), for a purchase price of US$24 million. In exchange for the purchase price, GGM will issue to Appian the Royalty on all minerals produced from the Property up until 1,250,000 ounces of gold or gold equivalent is achieved, and thereafter only on gold, for the life of the Project. This transaction secures for the Company a less dilutive source of financing, providing sufficient funding to buy back an existing royalty on the Project, buy back certain debt, and help advance the Project through project development activities towards project financing and a ...
