Contractor sues Timmins gold miner for $7.4M
Gowest Gold Ltd. in Timmins announced Monday it is being sued by North Bay-based Cementation Canada Inc. for $7.4 million.
Based in North Bay, Cementation is "seeking payment in the amount of approximately $7.4 million in respect of certain services and materials provided to the company under a contract between the parties dated as of March 2, 2017," said the post on Gowest's website.
"Cementation has further caused a lien to be registered on title to the company’s Bradshaw gold deposit. The statement of claim also names Greenwater Investment Hong Kong Ltd., the company’s largest shareholder and secured creditor, as a defendant in the action."
Officials with Gowest are evaluating the merits of the claim, the post said, as well as "its defence and other potential options available to it in response to the action."
The company is working to develop its Bradshaw gold deposit north of Timmins. In March of this year, Greenwater announced it was providing $19 million for the effort to restart the gold mine.
The impact of the statement of claim is still being evaluated, Gowest said.
"The Company remains in discussions with Greenwater with respect to the closing of its proposed additional equity investment in the company, including the impact that the Cementation action may have on this proposed investment," the statement said.
"The company remains committed to moving forward with its efforts to restart mining activities at Bradshaw and intends to continue its activities in this regard."
Gowest is a Canadian gold exploration and development company focused on the delineation and development of its 100 per cent owned Bradshaw Gold Deposit on the Frankfield Property, part of the company’s North Timmins Gold Project.
Gowest is exploring additional gold targets on its more than 100‐square‐kilometre holdings and continues to evaluate the area, which is part of the Timmins gold camp.
CTVNews.ca Top Stories
Expert warns of food consumption habits amid rising prices
A new survey by Dalhousie University's Agri-Food Analytics Lab asked Canadians about their food consumption habits amid rising prices.
Documents reveal Ottawa's efforts to get Loblaw, Walmart on board with grocery code
It was evident to the federal government as early as last fall that Loblaw and Walmart might be holdouts to the grocery code of conduct, jeopardizing the project's success.
opinion The special relationship between King Charles and the Princess of Wales
Royal commentator Afua Hagan writes that when King Charles recently admitted Catherine to the Order of the Companions of Honour, it not only made history, but it reinforced the strong bond between the King and his beloved daughter-in-law.
Charlie Woods, son of Tiger, shoots 81 in U.S. Open qualifier
Charlie Woods failed to advance in a U.S. Open local qualifying event Thursday, shooting a 9-over 81 at Legacy Golf & Tennis Club.
Improve balance and build core strength with this exercise
When it comes to cardiovascular fitness, you may tend to focus on activities that move you forward, such as walking, running and cycling.
New Norad commander calls Canada's defence policy update 'very encouraging'
American troops will be spending more time training in the Far North, the new commander of Norad says, a strategy that fits 'hand-in-glove' with Canada's renewed focus on Arctic defence.
B.C. tenants evicted for landlord's use after refusing large rent increase to take over neighbouring suite
Ashley Dickey and her mother rented part of the same Coquitlam duplex in three different decades under three different landlords.
Mountain guide dies after falling into a crevasse in Banff National Park
A man who fell into a crevasse while leading a backcountry ski group deep in the Canadian Rockies has died.
$70M Lotto Max winners kept prize a secret from family for 2 months
During a special winner celebration near their hometown, Doug and Enid shared the story of how they discovered they were holding a Lotto Max ticket worth $70 million and how they kept this huge secret for so long.