UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): November 13, 2015
GOLDEN MINERALS COMPANY
(Exact name of registrant as specified in its charter)
DELAWARE |
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1-13627 |
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26-4413382 |
(State or other jurisdiction of
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(Commission
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(I.R.S. Employer
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350 Indiana Street, Suite 800
Golden, Colorado 80401
(Address of principal executive offices) (Zip Code)
Registrants telephone number, including area code: (303) 839-5060
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Item 1.01 Entry into a Material Definitive Agreement.
On November 13, 2015, Minera William S.A. de C.V. (William), a wholly owned subsidiary of Golden Minerals Company, entered into a Contract of Mining Exploration and Exploitation (the Agreement) with Minera Fumarola, S.A. de C.V. (Minera Fumarola), a wholly owned subsidiary of Prospero Silver Corp., a Canadian resource company (Prospero), pursuant to which William acquired the mining rights for the Santa Rosa vein in the San Luis del Cordero Project in Durango State, Mexico.
Under the terms of the Agreement, William paid Prospero US$140,000 on signing and is required to pay us $100,000 annually until production begins. William must complete a minimum of 2,000 meters of drilling within the next 18 months and commence production within three years. Once mining and processing begin, William is required to pay Prospero 15% of net proceeds from the sale of concentrates from the property as defined in the Agreement and an underlying 2% net smelter return royalty to a third party. William is responsible for all of the costs of exploration, preparation for mining, mining, processing and sales, for which it receives a credit in the net proceeds calculation.
The foregoing description of the Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the Agreement, which is attached hereto as Exhibit 10.1 and is incorporated herein by reference.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
Exhibit
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Description |
10.1 |
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Contract of Mining Exploration and Exploitation entered into by and between Minera William SA de CV and Minera Fumarola, SA de CV dated as of November 13, 2015. |
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date: November 18, 2015
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Golden Minerals Company |
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By: |
/s/ Robert P. Vogels |
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Name: |
Robert P. Vogels |
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Title: |
Senior Vice President and Chief Financial Officer |
Exhibit 10.1
EXECUTION VERSION
recibido comunicado alguno relacionado con lo anterior, ni se encuentra al tanto de que exista base alguna para suponer que dichas órdenes o requerimientos pudieran ser emitidos.
I.9.c. Los LOTES no se encuentran ubicados dentro de Áreas Naturales Protegidas ni Reserva Ambiental alguna, sea de carácter federal o estatal, ni FUMAROLA ni ALTIPLANO han recibido comunicación alguna sobre la posible creación de una reserva de ese tipo sobre el área en donde se localizan los LOTES.
Manifiesta además FUMAROLA que a su leal saber y entender, en su momento, se obtuvieron todas las autorizaciones que se requerían para efectuar trabajos en los LOTES, incluyendo la anuencia de los propietarios o poseedores del terreno superficial en donde se ubican los LOTES, por lo que, a la fecha de firma de este documento, no existe contingencia ambiental alguna, ni de otra naturaleza, que pueda afectar la validez de las concesiones mineras que amparan a los LOTES o pueda involucrar o afectar en forma alguna a WILLIAM por actos atribuibles a FUMAROLA o a la propia ALTIPLANO.
I.10. Que en este acto, FUMAROLA desea otorgar a WILLIAM el derecho exclusivo a evaluar, explorar y explotar los LOTES por un plazo de 8 (ocho) años prorrogables de acuerdo a lo establecido en este Contrato, a partir de la fecha de ratificación de este Contrato ante Notario Público por ambas partes; misma exploración y explotación que se llevará a cabo en los términos y condiciones establecidos en este documento, considerando que WILLIAM está capacitada para ser titular de concesiones mineras conforme a la Ley Minera y su Reglamento y que este Contrato está permitido en términos de las disposiciones legales aplicables. |
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under which such orders or requirements could be issued.
I.9.c. The LOTS are not located within Natural Protected Areas nor Environmental Reserve whatsoever, either federal or local, nor has FUMAROLA or ALTIPLANO, received any communication informing on the possibility of the creation of a reserve of said nature over the area where the LOTS are located.
FUMAROLA also declares that to its knowledge, when so required, all of the authorizations needed to carry out works within the LOTS were obtained, including the authorization of the owners or holders of the surface land where the LOTS are located. Therefore, as to the date of execution of this document, no environmental contingency, nor of any other nature exists, which may hinder the validity of said mining concessions covering the LOTS or that may involve or affect WILLIAM in any manner, from acts attributable to FUMAROLA or to ALTIPLANO itself.
I.10. That FUMAROLA hereby wishes to grant to WILLIAM the exclusive right to evaluate, explore and exploit the LOTS, for a term of 8 (eight) years extendable in terms of that agreed in this Contract counted from the date of ratification of this Contract before a Notary Public by both parties; which exploration and exploitation shall be carried out under the terms and conditions established in this document, considering that WILLIAM has the capacity to be holder of mining concessions in accordance with the Mining Law and its Regulations and that this Contract is allowed in terms of the applicable legal provisions.
II. WILLIAM declares through its |
SEGUNDA. Este Contrato de Exploración y de Explotación Minera se regirá, además, por lo siguiente:
1. Contraprestación por el derecho Exclusivo a Explorar y Explotar los LOTES. La contraprestación que WILLIAM pagará a FUMAROLA por el derecho exclusivo de Explorar y Explotar los LOTES y los derechos de acceso a los mismos LOTES, será conforme a lo siguiente
1.1. Pagos.
Estos pagos los efectuará WILLIAM a FUMAROLA siempre y cuando este Contrato continúe vigente al llegar la fecha en que deba realizarse cada uno, por no haberse dado por terminado en forma anticipada, serán como sigue:
1.1.a. En la fecha de ratificación de este Contrato ante Notario por ambas partes (o bien la fecha en que la última de ellas ratifique el Contrato en caso de hacerlo por separado), la cantidad total de $140,000.00 dls. (ciento cuarenta mil dólares 00/100), más el importe del impuesto al valor agregado (IVA) o cualquier otro impuesto similar que pueda aplicar.
1.1.b. En o antes de que se cumplan 12 (doce) meses contados a partir de la fecha de Ratificación de este Contrato ante Notario por ambas partes (o bien la fecha en que la última de ellas ratifique el Contrato en caso de hacerlo por separado) y siempre que este Contrato continúe vigente, la cantidad total de $100,000.00 dls. (cien mil dólares 00/100), más el importe del IVA o cualquier otro impuesto similar que pueda aplicar. |
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additionally governed by the following:
1. Consideration for the Exclusive Right to Explore and Exploit the Lots. The consideration to be paid by WILLIAM to FUMAROLA for the exclusive right to Explore and Exploit the LOTS, and the rights of access to the same LOTS, shall be according to the following.
1.1 Payments.
These payments shall be paid by WILLIAM to FUMAROLA if and when this Contract remains in full force and effect on the date on which the respective payment becomes due, given that the Contract has not been terminated in advance, shall be the following:
1.1.a On the date of ratification of this Contract before a Notary by both parties (or on the date in which the last one of them ratifies the Contract in case it is ratified in counterparts), the total amount of $140,000.00 dollars (one hundred forty thousand dollars 00/100) plus the amount of Value Added Tax (VAT) or such other similar tax that may apply.
1.1.b On or before 12 (twelve) months have elapsed from the date of Ratification of this Contract before a Notary by both parties (or on the date in which the last one of them ratifies the Contract in case it is ratified in counterparts), if this Contract remains in full force and effect, the total amount of $100,000.00 dollars (one hundred thousand dollars 00/100) plus the amount of VAT or such other similar tax that may apply
1.1.c. Thereafter, on or before each anniversary of this Contract has elapsed from the date of Ratification of |
que en ningún caso, ya sea derivado de este Contrato de pagar la NPP a FUMAROLA (de acuerdo a lo señalado en el Anexo 3 ) minados, extraídos y vendidos del LOTE o de cualquier otra manera, generarán la obligación expresa o implícita de explorar para el desarrollo, extracción o producción de mineral en mena, minerales o productos de los LOTES, y el tiempo, forma, método y cantidades de dicha exploración, desarrollo, explotación o producción, cualquiera que esta sea, será de la exclusiva decisión de WILLIAM.
1.4. Inicio de Explotación Comercial. WILLIAM acepta que deberá iniciar la Producción Comercial de mineral extraído de los LOTES a más tardar una vez cumplidos 3 (tres) años contados a partir de la ratificación de este Contrato ante Notario por ambas partes.
1.5. Resolución de temas relacionados con la NPP Si FUMAROLA y WILLIAM llegasen a tener cualquier disputa en relación al monto o cálculo de la NPP o de la regalía establecida en la Cláusula Cuarta, entonces las partes acuerdan someter dicha controversia a arbitraje; el procedimiento arbitral se regirá de conformidad con las reglas de la Asociación Americana de Arbitraje; el idioma del arbitraje será el inglés y el lugar del arbitraje será la Ciudad de Houston, Estado de Texas, Estados Unidos de América. Considerando que este Contrato se celebra en inglés y español, en caso de disputa como se establece en esta cláusula y únicamente para propósito de esta cláusula, la versión inglés prevalecerá.
CUARTA. Subrogacíon en la Obligación de Pagar la Regalía a ALTIPLANO. WILLIAM en este acto se subroga en la obligación de pagar y acepta pagar a ALTIPLANO la regalía del 2% (dos por ciento) de los Ingresos Netos de Fundición (NSR) acordados en el CONTRATO ORIGINAL, mismo que se adjunta a este Contrato como Anexo 2 y que en su parte conducente del Anexo 2 del CONTRATO ORIGINAL se tiene por |
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otherwise, shall WILLIAM have any duty or obligation, express or implied, to explore for, develop, mine or produce ores, minerals or Products from the LOTS, and the timing, manner, method and amounts of such exploration, development, mining or production, if any, shall be in the sole discretion of WILLIAM.
1.4 Beginning of Commercial Production. WILLIAM accepts that it shall initiate Commercial Production of mineral obtained from the LOTS, at the latest, once 3 (three) years have elapsed from the date of ratification of this Contract before a Notary by both parties.
1.5 Resolution of matters related to the NPP. If FUMAROLA and WILLIAM have any dispute about the amount or calculation of the NPP or the royalty set forth in Clause Fourth, then the parties agree to submit such controversy to arbitration; the arbitration procedure will be subject to the rules of the American Arbitration Association; the language of the arbitration will be English and the place of arbitration the City of Houston, State of Texas, United States of America. Considering that this Contract is executed in both English and Spanish versions, in case of dispute as stated in this clause, and only for the purpose of this clause, the English language version will govern.
FOURTH. Subrogation in the Obligation to pay the Royalty to ALTIPLANO. WILLIAM in this act subrogates itself in the obligation and agrees to pay ALTIPLANO the royalty of 2% (two percent) of Net Smelter Returns (NSR) agreed upon in the ORIGINAL CONTRACT, which is attached to this Contract as Schedule 2 and in its corresponding section of Schedule 2 to the ORIGINAL CONTRACT is considered as fully transcribed for all legal purposes, forming an integral part of this document as transcribed herein. |
enteramente reproducido para todos los efectos legales, formando parte integral de este documento como si a la letra se insertase.
ALTIPLANO acepta que el 2% de regalía de Ingresos Netos de Fundición acordada en el CONTRATO ORIGINAL será pagada por WILLIAM conforme a este Contrato, en lugar de por FUMAROLA, durante el tiempo en que este Contrato continúe vigente.
Si ALTIPLANO y WILLIAM llegasen a tener cualquier disputa en relación al monto o cálculo de la NSR regalía prevista en esta Cláusula Cuarta, entonces las partes acuerdan someter dicha controversia a arbitraje; el procedimiento arbitral se regirá de conformidad con las reglas de la Asociación Americana de Arbitraje; el idioma del arbitraje será el inglés y el lugar del arbitraje será la Ciudad de Houston, Estado de Texas, Estados Unidos de América. Considerando que este Contrato se celebra en inglés y español, en caso de disputa como se establece en esta cláusula y únicamente para propósito de esta cláusula, la versión inglés prevalecerá.
ALTIPLANO conviene en no ceder cualesquiera de sus derechos de acuerdo al CONTRATO ORIGINAL y a no transferir los derechos derivados de las concesiones mineras que amparan los LOTES sin el consentimiento previo y por escrito de WILLIAM.
QUINTA. Vigencia. La duración de este Contrato será de 8 (ocho) años contados a partir de la fecha de ratificación de este documento ante notario público por ambas partes de acuerdo a lo arriba indicado; o bien la fecha en que la última de ellas ratifique el Contrato en caso de hacerlo por separado.
Dicho plazo será prorrogable mediante acuerdo entre WILLIAM y FUMAROLA.
Dicho plazo será forzoso para FUMAROLA y voluntario para WILLIAM, por lo que esta |
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ALTIPLANO agrees that the 2% Net Smelter Returns royalty agreed upon in the ORIGINAL CONTRACT shall be paid by WILLIAM under this Contract instead of FUMAROLA under this Contract, as long as this Contract remains in effect.
If ALTIPLANO and WILLIAM have any dispute about the amount or calculation of the NSR royalty set forth in this Clause Fourth, then the parties agree to submit such controversy to arbitration; the arbitration procedure will be subject to the rules of the American Arbitration Association; the language of the arbitration will be English and the place of arbitration the City of Houston, State of Texas, United States of America. Considering that this Contract is executed in both English and Spanish versions, in case of dispute as stated in this clause, and only for the purpose of this clause, the English language version will govern.
ALTIPLANO agrees not to assign any of its rights under the ORIGINAL CONTRACT and not to transfer the rights deriving from the mining concessions covering the LOTS without the advance written consent of WILLIAM.
FIFTH. Term. This Contract shall be in full force and effect for a period of 8 (eight) years counted from the date of ratification of this document before a notary public by all parties involved in terms of that agreed above; or in the date on which the last one of them ratifies the Contract in case it is done in counterparts.
Said term shall be extendable upon the written agreement of WILLIAM and FUMAROLA.
Said term shall be compulsory for FUMAROLA and voluntary for WILLIAM, therefore the latter may terminate this Contract at any time, at its own discretion without any responsibility whatsoever except |
DECIMA. Caso Fortuito o Fuerza Mayor. Queda expresamente convenido que WILLIAM no será responsable por la demora o incumplimiento total o parcial, de sus obligaciones consistentes en ejecutar los trabajos de exploración o explotación en los términos de este Contrato, cuando dicha demora o incumplimiento provenga o resulte de caso fortuito o fuerza mayor, esto es, de hechos o acontecimientos de la naturaleza o del hombre que sean imprevisibles o que, aun cuando puedan preverse, no puedan evitarse por WILLIAM; lo cual desde luego no incluirá cuestiones financieras que puedan afectar la situación económica de WILLIAM.
No obstante lo anterior, WILLIAM únicamente será excusada por caso fortuito o fuerza mayor, y no será responsable por cualquier falta o demora de hacer pagos a que se refiere la Cláusula Segunda de este Contrato si como resultado de dicha caso fortuito o fuerza mayor, se hace imposible efectuar dichos pagos por cuestiones que no se relacionen con la situación financiera de WILLIAM.
De acuerdo con lo señalado en el párrafo anterior, las partes convienen que los acontecimientos que a continuación se mencionan, de manera enunciativa, mas no limitativa, serán considerados caso fortuito o fuerza mayor: siniestros, tales como incendios, explosiones, inundaciones, tormentas, terremotos, epidemias, disturbios civiles, disturbios laborales, huelgas, guerras, invasiones, oposiciones o disturbios ocasionados por comunidades rurales, ejidales, o por cualquier otro tipo de grupo o asociación constituida legalmente o no, así como oposiciones o disturbios causados por cualquier otra persona que impidan o no autoricen a WILLIAM el libre acceso a los LOTES o impidan la realización de los trabajos mineros contemplados en este Contrato, así como acciones u omisiones de cualquier autoridad gubernamental, sea federal, estatal o municipal, lo que incluye la demora o falta de obtención oportuna de |
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TENTH. Force majeure and Acts of God. It is expressly agreed that WILLIAM shall not be liable for the delay in or total or partial non-fulfillment of its obligations consisting in the execution of exploration or exploitation works in terms of this Contract, when such delay or non-fulfillment results from acts of God or force majeure, that is from facts or events of nature or man that are unforeseeable or that even in the case they might be foreseen, they cannot be avoided by WILLIAM; same shall not include financial matters which may affect the economic situation of WILLIAM.
Notwithstanding the above, WILLIAM shall only be excused by acts of God or force majeure from, and shall not be liable for any failure or delay in making payments referred in in Clause Second of this Contract if as a result of such act of God or force majeure it becomes impossible to make such payments for reasons other than those related to the financial condition of WILLIAM.
In accordance with that indicated in the above paragraph, the parties agree that the events mentioned below shall be considered as acts of God or force majeure without limiting to: accidents such as fire, explosions, floods, tempests, earthquakes, epidemics, civil disturbances, labor disturbances, strikes, wars, invasions, oppositions or disturbances provoked by rural communities, ejidos communities or any other kind of association legally created or not, as well as oppositions or disturbances caused by any other person obstructing the free access of WILLIAM or its designee to the LOTS or obstructing the performance of the mining works set forth in this Contract, as well as actions or omissions of any governmental authority, whether federal, state or municipal, group or entity which include the delay or impossibility to timely obtain such permits required, including environmental permits, from any governmental authority to carry out the mining |
las acciones legales que se requieran para apoyar a WILLIAM, a fin de: (i) obtener cualesquiera autorizaciones para que WILLIAM ejercite los derechos que aquí se le confieren; (ii) mantener a los LOTES libres de toda carga, gravamen, afectación o limitación de dominio de cualquier naturaleza; y, (iii) en general, para resolver cualquier contingencia que pudiera afectar la situación jurídica de los LOTES y que pudiera impedir, limitar u obstaculizar el ejercicio de los derechos que se otorgan por virtud de este Contrato a WILLIAM.
DECIMA QUINTA. Comunicaciones. Todas las comunicaciones que se hagan las partes conforme a este Contrato serán por escrito, entregadas en sus domicilios en forma fehaciente o por medio de correo electrónico con acuse de recibido a la dirección abajo indicada en forma fehaciente y, al efecto, las partes señalan los siguientes domicilios:
FUMAROLA Y ALTIPLANO: Minera Fumarola, S.A. de C.V. Exploraciones del Altiplano, S.A. de C.V. Sinaloa 106 - 302 Colonia Roma México D.F. C.P. 06700 Attn: Tawn Dewey Albinson Tel: (55) 55 25 0445
WILLIAM Minera William, S.A. de C.V. Warren Michael Rehn Senior Vice President, Exploration Calle Río Támesis No. 2505 Colonia Magdalenas C.P. 27010 Torreón, Coahuila Tel: 01(871)7475750
Con una copia a:
Warren Rehn President and Chief Executive Officer Golden Minerals Company |
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exercise all legal actions in order to support WILLIAM, so as to: (i) get any and all authorizations so WILLIAM may exercise the rights granted hereby; (ii) hold the LOTS free of any lien or encumbrance, pledge or limitation of ownership of any nature whatsoever; and, (iii) in general, resolve any such contingency that may affect the legal standing of the LOTS and that could hinder or limit the exercise of the rights hereby granted to WILLIAM under this Contract.
FIFTEENTH. Communications. All communications taking place regarding this Contract shall be made in writing, delivered to the parties at their address in an authentic manner or through email which is confirmed by delivery of such communication to the address set forth below in an authentic manner and, for such purposes, the parties designate the following addresses:
FUMAROLA AND ALTIPLANO: Minera Fumarola, S.A. de C.V. Sinaloa 106 - 302 Colonia Roma México D.F. C.P. 06700 Attn: Tawn Dewey Albinson Tel: +55 (55) 25 0445
WILLIAM: Minera William, S.A. de C.V. Warren Michael Rehn Senior Vice President, Exploration Calle Río Támesis No. 2505 Colonia Magdalenas C.P. 27010 Torreón, Coahuila Tel: 01(871)7475750
With a copy to:
Warren Rehn President and Chief Executive Officer |
FUMAROLA |
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WILLIAM |
MINERA FUMAROLA, S.A. DE C.V. |
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MINERA WILLIAM, S.A. DE C.V. |
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/s/ Tawn Dewey Albinson |
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/s/ Warren M. Rehn |
Tawn Dewey Albinson |
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Warren Michael Rehn |
Apoderado |
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Apoderado |
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DE CONFORMIDAD |
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ALTIPLANO |
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EXPLORACIONES DEL ALTIPLANO, S.A. DE C.V. |
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/s/ Tawn Dewey Albinson |
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Tawn Dewey Albinson |
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Apoderado |
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EXECUTION VERSION
ANEXO I
LOTES