Issue link: http://resourceworld.uberflip.com/i/612354
d e c e m b e r / j a n u a r y 2 0 1 6 www.resourceworld.com 39 is the Taylor Project, which includes three defined sediment-hosted mineralized deposits (known as the Shaft Zone, West Porphyry Zone [WPZ], and Shoot Zone), south of the PDFZ. Gold seems to be concentrated in the 1004 lens, which hosts 80% of the mineral reserves in the WPZ. Test production at Taylor has already recovered 628 oz gold, and much more is expected as this property is brought into commercial production, possibly within the current year, as the permitting process is well on track. Further targets at Hislop are also being explored with the hope of bringing that property back into production sometime in the future. Estimated reserves at Taylor are reported on the website at 774,000 tonnes grading 6.27 g/t gold, with 156,000 oz gold; and at Hislop as 280,000 tonnes grading 5.16 g/t gold, with 46,000 oz gold. Exploration con- tinues in Garrison and Harker townships and on the Ludgate property. Goals on St. Andrew Goldfields' to-do list for the rest of 2015 are to achieve projected gold targets at Holt and Holloway mines; to bring the Taylor Project into commercial production, hopefully adding 10,000-12,000 oz to make a total of 85,000-90,000 oz gold for 2015. n ST. ANDrew golDfIelDS PreSS releASe Kirkland Lake Gold bids for St. Andrew Goldfields Kirkland Lake Gold inc. [KGI-TSX] and has signed a binding agree- ment to acquire all the outstanding shares of St. Andrew Goldfields Ltd. Under the terms, shareholders of St. Andrew will receive 0.0906 of one share of Kirkland Lake for each St Andrew share held. The exchange Ratio represents the equivalent of $0.47 per St Andrew share, based on the closing price of Kirkland Lake November 16, 2015. The Exchange Ratio implies a 46% premium based on both companies' 20-day volume- weighted average prices and a 25% premium to St. Andrew's closing price, both as at November 16, 2015 on the TSX. The Exchange Ratio implies a total equity value of approximately $178 million on a fully diluted in-the-money basis. Upon completion of the proposed transaction, existing Kirkland Lake and St. Andrew shareholders will own approximately 71% and 29% of the combined company, respectively. The arrangement has to be approved by 66 2/3% of St. Andrew shareholders, plus regulatory approvals. Kirkland Lake Gold operates the Macassa Mine Complex near the town of Kirkland Lake, northeast Ontario and produces in excess of 150,000 ounces of gold annually. n