Core Viewpoint - Patagonia Gold Corp. has entered into an investment agreement with Black River Mine Inc. for up to US$40 million to support the development of its Calcatreu Project in Rio Negro, Argentina [1][2]. Investment Agreement Details - The Investor will acquire up to 40 million preferred shares at US$1.00 per share, totaling US$40 million in gross proceeds [2]. - The Investor is a newly formed corporation controlled by Carlos J. Miguens, who is the Lead Investor [3]. - The Investment Agreement includes a Shareholders' Agreement that will govern the affairs of PG Canada [3]. Distribution Policy - The Investor will receive 80% of the "Available Cash" until it has received US$40 million, with the Company receiving the remaining 20% [7]. - After the Investor receives the Preferred Distribution Amount, the Company will receive 100% of the Available Cash until it has received US$60 million [7]. - Following this, the Company will receive 60% of the Available Cash, while the Investor will receive 40% [7]. Financing Use - Proceeds from the Financing will be exclusively used for the development of the Project and to cover related fees and expenses [6]. Project Overview - The Calcatreu Project is located in Rio Negro, approximately 85 kilometers south of Ing Jacobacci [10]. - The Project has an estimated 746,000 contained AuEq ounces in measured and indicated resources and 390,000 contained AuEq ounces in inferred resources [12]. Company Background - Patagonia Gold Corp. focuses on gold and silver projects in the Patagonia region of Argentina and is one of the largest landholders in Santa Cruz province [15].