NEWS RELEASE: Ascot Resources to Acquire IDM Mining to Create a Leading Gold Development and Exploration Company

VANCOUVER, British Columbia, Jan. 07, 2019 (GLOBE NEWSWIRE) — Ascot Resources Ltd. (TSX.V:AOT, OTCQX:AOTVF) (“Ascot”) and IDM Mining Ltd. (TSX.V:IDM, OTCQB:IDMMF) (“IDM”) are pleased to announce that they have entered into a definitive arrangement agreement (the “Definitive Agreement”) pursuant to which Ascot will acquire all of the issued and outstanding common shares of IDM (the “Transaction”).

Each IDM shareholder will be entitled to receive 0.0675 of a common share of Ascot for each share of IDM held (the “Consideration”). The Transaction will consolidate Ascot’s Premier Gold project (“Premier”) and IDM’s Red Mountain project (“Red Mountain”), to create the leading high-grade gold development and exploration company in northwestern British Columbia’s Golden Triangle. The combined entity will benefit from numerous operational and development synergies.

The Consideration values IDM at approximately C$0.086 per share, representing a premium of approximately 54% to IDM shareholders based on the trailing 20-day volume weighted average price of each company as of the close of trading on January 4, 2019. Upon completion of the Transaction, it is expected that IDM shareholders will hold approximately 16.7% of Ascot shares on an outstanding basis.

Highlights of the Transaction:

-The combination of the two companies will result in a compelling resource base of high-grade measured and indicated gold-silver resources positioning Ascot as a consolidator of the southern Golden Triangle;
-Complementary management teams with a combined skill set of mining development, operations, finance, exploration and community relations experience; locally-based team of miners, drillers and support team;

-Two, 15+ km long early-Jurassic geological trends totaling 25,000 hectares, which host multiple advanced deposits with significant potential new high-grade gold discoveries located 25 kms from each other;
-Geographic and regulatory proximity, with all assets located within Treaty territory of the Nisga’a Nation, near the prominent mining communities of Stewart, British Columbia and Hyder, Alaska;

-Acquisition of high-grade development-stage resources at IDM’s Red Mountain project, which received its provincial environmental assessment certificate in October 2018;
-A solid infrastructure foundation at Premier, which includes a process mill, tailings storage facility, power and water treatment facilities; and
-Strong, supportive combined corporate, retail and institutional shareholder base providing enhanced market visibility.

For the rest of this news release: https://globenewswire.com/news-release/2019/01/07/1681405/0/en/Ascot-Resources-to-Acquire-IDM-Mining-to-Create-a-Leading-Gold-Development-and-Exploration-Company.html

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