VANCOUVER June 16, 2020 – The Board of Directors of China Gold International Resources Corp. Ltd. (TSX: CGG; HKEx: 2099) (the “Company”, the “Guarantor” or “China Gold International Resources”) is pleased to announce that on June 16, 2020, the Company, its wholly-owned subsidiary, Skyland Mining (BVI) Limited (the “Issuer”) and the Joint Bookrunners and Joint Lead Managers (as defined below), have entered into a subscription agreement (the “Subscription Agreement”) pursuant to which the Issuer has agreed to offer and issue (the “Offer”) , and the Joint Bookrunners and Joint Lead Managers have agreed, severally and not jointly, to subscribe or to procure subscribers for bonds in an aggregate principal amount of US$300 million at an issue price of 99.886% (the “Bonds”) bearing interest at the rate of 2.80% with a maturity date of June 23, 2023. The Bonds are expected to be rated BBB- by Standard & Poor’s.
The Bonds will be unconditionally and irrevocably guaranteed by the Company.
The net proceeds of the Offer will be used for repaying existing indebtedness and general corporate purposes in accordance with PRC Law and the registration certificate from the National Development and Reform Commission of the PRC. The Joint Bookrunners and Joint Lead Managers are Bank of China (Hong Kong) Limited, China International Capital Corporation Hong Kong Securities Limited, China Construction Bank (Asia) Corporation Limited, Citigroup Global Markets Limited, Guotai Junan Securities (Hong Kong) Limited, Shanghai Pudong Development Bank Co., Ltd., Hong Kong Branch, Silk Road International Capital Limited and Standard Chartered Bank. The Bonds are not being and will not be sold, issued, delivered or offered directly or indirectly in Canada or to, or for the benefit of, any resident of Canada, or for others to resale, directly or indirectly, in Canada or to, or for the benefit of, any resident of Canada, except as otherwise permitted under applicable Canadian laws and regulations. An application will be made to The Stock Exchange of Hong Kong Limited and the Chongwa (Macao) Financial Asset Exchange Co., Limited for the listing of, and permission to deal in the Bonds by way of debt issues to qualified professional investors only and such permission is expected to become effective on or about June 24, 2020. The Bonds and the guarantee have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”), and may not be offered or sold within the United States except in certain transactions exempt from, or not subject to, the registration requirements of the U.S. Securities Act. None of the Bonds will be offered to the public in Hong Kong other than to “professional investors” as defined in the Securities and Futures Ordinance (Cap. 571) of Hong Kong or in Macau other than to “professional investors” as defined in Section 11 of the Guideline on Provision and Distribution of Financial Products by Monetary Authority of Macao.
About China Gold International Resources
China Gold International Resources Corp. Ltd. is based in Vancouver, BC, Canada and operates both profitable and growing mines, the CSH Gold Mine in Inner Mongolia Autonomous Region, and the Jiama Copper-Gold Polymetallic Mine in Tibet Autonomous Region of the People’s Republic of China. The Company’s objective is to continue to build shareholder value by growing production at its current mining operations, expanding its resource base, and aggressively acquiring and developing new projects internationally. The Company is listed on the Toronto Stock Exchange (TSX: CGG) and the Main Board of The Stock Exchange of Hong Kong Limited (HKEx: 2099).
For additional information on China Gold International Resources Corp. Ltd., please refer to its SEDAR profile at www.sedar.com or contact Tel: 604-609-0598, Email: firstname.lastname@example.org, website: www.chinagoldintl.com
Cautionary Note About Forward-Looking Statements
Certain information regarding China Gold International Resources contained herein may constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Although China Gold International Resources believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. China Gold International Resources cautions that actual performance will be affected by a number of factors, most of which are beyond its control, and that future events and results may vary substantially from what China Gold International Resources currently foresees. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration results, continued availability of capital and financing and general economic, market or business conditions. The forward-looking statements are expressly qualified in their entirety by this cautionary statement. The information contained herein is stated as of the current date and subject to change after that date.