FCMI Financial Corp., a Toronto financial services company, has completed a $2.25 million investment in Gold Standard Inc., a gold mining company based in Salt Lake City.

Under terms of the deal, FCMI Financial purchased one million shares of Gold Standard at $2.25 per share, which was the market price of the stock when the terms and conditions of the deal were agreed upon.FCMI Financial also received seven-year warrants to purchase 750,000 Gold Standard shares at $2.75 per share. Gold Standard received five-year warrants to purchase 350,000 FCMI Financial Corp. Class A shares at $4 (in Canadian dollars) per share.

Both companies have agreed to a two-year restriction on selling any shares covered under the financing arrangement, which also gives FCMI Financial certain first refusal rights related to future Gold Standard financings.

Gold Standard owns an interest in the Mercur mine in Tooele County, Utah, which is currently the subject of a lawsuit brought by Gold Standard against American Barrick Resources Corp., Texaco Inc., Getty Oil, and various of their subsidiaries.

Gold Standard is also pursuing an active exploration program in the western United States and Uruguay.

"We are particularly excited by their gold properties in Uruguay, and are looking forward to their participation in other South American countries. This area has enormous potential for precious metals mining," Albert Friedberg, president of FCMI Financial, said.

Gold Standard president Scott L. Smith said, "FCMI's investment further strengthens our liquidity and working capital position.

"Gold Standard has always been a company with a long-term orientation, and I think Mr. Friedberg and his organization recognize that approach -- and value it."

FCMI Financial Corp. is a financial services company whose primary business is fund advisory and management services through Friedberg Commodity Management Inc., a wholly owned subsidiary.