3 October 2014
Capital Raising Negotiations Advancing
VANCOUVER, British Columbia (October 3, 2014) – Tyhee Gold Corp. (TSX Venture: TDC) (the “Company” or “Tyhee”) announces that the Maturity Date of the previously announced Note Purchase Agreement (‘the Agreement”) with RMB Australia Holdings Limited (“RMB Australia”) (see Tyhee news releases dated February 14 and August 21, 2014) has been further extended to October 31, 2014. Under the terms of the Agreement, RMB Australia provided the Company with a US$5 million loan (the “RMB Note”), which was previously to mature on September 30, 2014 and bears interest at 2% per month.
This extension has been made in order to facilitate Tyhee’s plans to raise the appropriate capital for the previously announced Implementation Agreement with RMB Australia and Sutter Gold Mining Inc. (SGM:TSXV) (SGMNF:OTCQX) (“Sutter”) whereby, subject to certain conditions, Tyhee will acquire: all of the issued and outstanding shares of Sutter currently held by RMB and/or its affiliates; all of the issued and outstanding shares of Sutter that are to be issued to RMB by Sutter upon the proposed conversion of US$8 million of RMB’s current debt exposure to Sutter; and approximately US$17 million of RMB’s additional debt exposure to Sutter (the “Transaction”.) Upon completion of the Transaction, Tyhee will hold approximately 73% of Sutter’s issued and outstanding shares, on a non-fully-diluted basis. Tyhee, RMB Australia and Sutter have also extended the closing date of the Transaction from September 30, 2014 to October 31, 2014, or such earlier or later date as the parties may agree.