OREANDA-NEWS. November 13, 2017. Anfield Gold Corp. (“Anfield” or “Company”) (TSXV:ANF) announces that it has served a notice of default to Cunico Resources N.V. (“Cunico”) following Cunico’s failure to make certain payments to Anfield in respect of the amounts owing by Cunico for the months of September, October and November 2017 as set out in the payment schedule of the share purchase agreement relating to Mayaniquel SA between Anfield and Cunico dated June 16, 2014 (the “2014 SPA”).

Cunico’s payment obligation to Anfield pursuant to the 2014 SPA is secured by (i) a pledge over all the shares of Mayaniquel SA (“MNSA”) (the “Mayaniquel Shares”), a former Guatemalan subsidiary of the Company which was acquired by Cunico in 2014; (ii) a pledge by Cunico’s marketing subsidiary, Cunico Marketing FZE of certain accounts receivable arising from the sale of processed nickel; and (iii) a guarantee from Cunico Marketing FZE.  Anfield is planning to enforce its right to foreclose on the Mayaniquel Shares since Cunico has not cured its defaults and has not met any of its other obligations by the applicable contractual deadlines.

To ensure certainty on Anfield’s financial position once Anfield forecloses on the Mayaniquel Shares, Anfield has entered into a conditional agreement with International Nickel Supply SA (“INS”) (the “INS Agreement”).  Pursuant to the INS Agreement, Anfield has agreed to sell the Mayaniquel Shares for US$13 million, in the event that Anfield successfully forecloses on the Mayaniquel Shares under its existing share pledge agreements with Cunico. The agreement with INS is subject to a number of closing conditions, including the completion of enforcement proceedings.

The consideration under the INS Agreement is structured as an initial payment of US$0.5 million and a secondary payment of US$12.5 million payable upon closing. Anfield has received the initial payment of US$0.5 million. This represents a significant acceleration of the original payment schedule with Cunico, pursuant to which Anfield was to receive US$250,000 per month to the end of 2018 and a one-time payment in June 2019, using a pre-negotiated formula and the average nickel price over the fifth year of the agreement. Based on an average nickel price of US$4.00/lb to US$5.00/lb, the amount of this final payment would be approximately US$12 to US$19 million.

About Anfield Gold

Anfield Gold Corp. (TSXV:ANF) is a Vancouver, Canada based precious metal exploration and development company. Anfield’s strategic plan also includes the acquisition of other gold projects with the goal of becoming a mid-tier gold mining company.