Cameron Gold Operations will be acquired for C$13m ($10.36m) through purchasing 32,260,836 common shares of First Mining.
The acquisition will give First Mining Finance the ownership of Cameron Gold Project located in Ontario, Canada.
Under the agreement, First Mining Gold will also offer Chalice Gold Mines a net smelter royalty (NSR) of 1% on certain mining claims within the project, which are not constrained by pre-existing royalties.
However, First Mining has an option to repurchase 0.5% of the NSR for C$1m ($790,000). Chalice Gold Mine will also be offered approximately 8.1% of the issued and outstanding shares of First Mining Finance.
Following the transaction, Williams Creek will become a wholly owned subsidiary of Bakerville, and William Creek’s former shareholders will hold approximately 2.27% of the shares of Barkerville on an outstanding basis.