Antilles Gold Limited has signed a binding memorandum of understanding with GEM Global Yield LLC SCS to restructure its Cayman Islands subsidiary and secure an US$18.0 million capital commitment aimed at lifting U.S. sanctions on its Cuban joint venture.

Under the agreement, GEM is expected to become a 25% shareholder in Antilles Gold Inc, which holds a 50% interest in Minera La Victoria S.A., the joint venture operating the Nueva Sabana gold-copper mine and the La Demajagua gold-silver-antimony deposit in Cuba.

Following U.S. sanctions imposed on Minera La Victoria on 4 June 2026, the companies signed the binding memorandum on 25 August 2026. GEM will approach the U.S. Department of State to seek permission for stakeholders to negotiate commercial arrangements to lift the sanction, allowing suspended construction of the Nueva Sabana mine to resume.

Subject to due diligence and the lifting of the sanction, GEM will incorporate a U.S. subsidiary to subscribe for a 25% shareholding in Antilles Gold Inc, representing the first step toward achieving a minimum of 51% U.S. ownership by 30 June 2028 through placements to U.S. investors.

The US$18.0 million capital received from GEM's subsidiary is intended to fund a short-term loan of US$12.0 million to Minera La Victoria for Nueva Sabana construction, US$4.0 million for the Definitive Feasibility Study for La Demajagua, and US$2.0 million for working capital.

GEM is scheduled to complete due diligence within 60 days, while Antilles Gold and GEM are committed to negotiating a Shareholders Agreement within 90 days.

"Shareholders will appreciate that though the proposed transaction with GEM would result in the Company's shareholding in AGI being reduced, it will not reduce the value of its shares in AGI because of the 33% increase in the capital which is expected to be subscribed by GEM's subsidiary."

"Based on the subscription price for 25% of AGI's shares, the residual 75% held by the Company would be valued at ~A$75M Based on the positive dealings with GEM to date, and their understanding of the commercial potential of MLV and the Cuban mining sector in general, it is anticipated that GEM's partnering with Antilles Gold in the Cuban projects would be rewarding for all stakeholders, however, it must be emphasised that there is no certainty as to the outcome of negotiations with GEM or DoS."

— Brian Johnson, Chairman, Antilles Gold Limited

Read the full announcement: Binding MoU Signed to Initiate Possible Lifting US Sanction