SolGold: BHP Proposal Not Superior To Financing With Maxit And Newcrest

(RTTNews) - The Board of SolGold announced it has received an offer by BHP Billiton (BHP.AX, BLT.L, BBL, BHP) to acquire a 10% interest in SolGold for $30 million which implies a share issue price for SolGold of approximately $0.22. BHP also offered to earn-in to the Cascabel Project, by spending $275 million to acquire 70% of ENSA out of SolGold's 85% interest in Exploraciones Novomining S.A which company currently holds the Cascabel project tenements. The Board of SolGold has determined the BHP Proposal is not in the best interests of SolGold and its shareholders and it is not a superior proposal in comparison to the previously announced $33 million financing with Maxit and Newcrest.

The Board of SolGold recommended that the company's shareholders approve all of the resolutions to be put to shareholders at the general meeting to be held on 13 October 2016 in the absence of a superior proposal.