Cassiar increases stake in Rea Gold

A subsidiary of Cassiar had previously acquired 2.3 million shares on the sale of the Bissett gold mine project in Manitoba to Rea Gold earlier this year.

Rea Gold’s other key asset is a 30% interest and a 5% net smelter royalty in the Samatosum polymetallic mine being brought into production by 70%-owner, Minnova Inc. (TSE).

Cassiar, which intends to increase its ownership to about 20%, said the shares were acquired “as an investment.” It is widely speculated the purchases are meant to discourage further accumulations by another large shareholder, D.C.C. Equities. Previously Rea Gold’s largest shareholder, D.C.C.’s interest was diluted to about 15% by the Bissett gold mine transaction.

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