Virgin Gold Corp. entered into non-binding letter of intent to acquire Goldblock Capital Inc. (CNSX:GBLK) for CAD 11.5 million in a reverse merger transaction on December 16, 2020. As on April 17, 2021, Virgin Gold Corp.

signed an agreement to acquire Goldblock Capital Inc. Pursuant to the Transaction, Goldblock will consolidate its share capital on a two-for-one basis (the “Consolidation”), following which it will issue post-Consolidation common shares (the "GBLK Shares") to the holders of common shares in the capital of Virgin (the "Virgin Shares") on a one-for-one basis, which is expected to total approximately 15 million post-consolidated GBLK Shares. Following the Consolidation, and prior to closing of the Transaction, GBLK will have 6 million shares outstanding. As of February 11, 2022, Goldblock Capital will complete a share consolidation at a rate of eight pre-consolidation common shares for three post-consolidation common shares and issue 22.69 million shares post consolidation to the shareholders of Virgin Gold.

In a related transaction, Virgin Gold through its wholly owned subsidiary Aurous Guyana Inc., has also entered into a share purchase agreement to wholly acquire Romanex Guyana Exploration Ltd. and their 100% owned Marudi Mountain Property. As a part of transaction, No finders' fees are payable in connection with the Transaction and Goldblock will advance to Virgin a non-refundable deposit of CAD175,000 in cash. Upon successful completion of the proposed acquisition of the securities, Virgin will be listed on the Canadian Securities Exchange (“CSE”) and will carry on the business of Virgin and will be part of the Inventa Capital group of companies.

Post completion of the acquisition, the resulting company, it is expected that Goldblock will become a wholly owned subsidiary of Virgin and will be led by Hilbert N Shields and Rory Harding, seasoned mining professionals with extensive experience in Guyana's mining industry. Upon completion of the Transaction, it is expected that all the Directors and officers of GBLK will resign and be replaced by nominees of Virgin. Leo Hathaway, Executive Chairperson and Director, Hilbert Shields, Chief Executive Officer and Director, Rory Harding, Vice President Corporate Development, Jen Hanson, Corporate Secretary, Veljko Brcic, Director and Alison Redford, Director will be appointed as officers and Directors of the Resulting Issuer with the addition of a Chief Financial Officer to be announced at a later date.

The Transaction is subject to a number of terms and conditions, including, but not limited to, the parties entering into a definitive agreement prior to July 31st 2021, completion of satisfactory due diligence investigations, approval of the Canadian Stock Exchange, obtaining requisite shareholder approvals, completion of the Private Placement, Consolidation, Name Change and Director Changes, obtaining requisite regulatory approvals including approval of CSE and listing of common shares of Resulting Issuer, and other closing conditions customary for transactions of this nature. As per the article of December 10, 2021, Virgin Gold expects to complete its reverse takeover of Goldblock and subsequent listing on the Canadian Stock Exchange early in the new calendar year.