Dragon Mountain Gold Limited (ASX:DMG) – Response to ASX Letter...

Dragon Mountain Gold Limited (ASXMG) – Response to ASX Letter
Dragon Mountain Gold Limited (DMG or the Company) refers to ASX’s letter dated
15 February 2022 (Letter) and provides the following responses to the specific queries set
out in that letter (using the numbering from the Letter).
Capitalised terms which are defined in the Letter have the same meaning where used in
this letter unless the context requires otherwise.
1. DMG confirms that the material terms of the Lease have not previously been
announced on the Market Announcements Platform and that the Lease has not
been approved by DMG’s shareholders under Listing Rule 10.1.
Sunplus Holdings Pty Ltd, a company controlled by Mr Gardner, became the
lessor of the Lease in 2013. DMG has previously disclosed the Lease’s rental
payments in its Annual Reports.
2. Please refer to the ASX announcement “General Meeting Rescheduled and
Breach of Listing Rule 10.1” that was released on 18 February 2022.
3. To allow time for the drafting of an independent expert report and to provide
shareholders sufficient time to be properly informed, the General Meeting that
was intended to be held on 21 February 2022 will be cancelled and a new
General Meeting will be convened as soon as possible, most likely in late March
or early April.
Subject to ASX approval, shareholders will be asked to approve the following at
the General Meeting:
a. the issue of shares in relation to the reinstatement capital raising;
b. DMG’s entry into the Lease under Listing Rule 10.1 and to remedy the previous
breach; and
c. the proposed conversion of Mr Robert Gardner’s entities’ debt to DMG shares.
DMG will provide ASX with an updated indicative reinstatement timetable once
the timing of the independent expert report is confirmed