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Headwater Gold Commences Trading and Outlines Corporate Strategy

 

Vancouver, British Columbia – TheNewswire – June 8, 2021 – Headwater Gold Inc. (CSE:HWG) (CNSX:HWG.CN) (the "Company" or "Headwater") is pleased…

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Vancouver, British Columbia – TheNewswire - June 8, 2021 - Headwater Gold Inc. (CSE:HWG) (CNSX:HWG.CN) (the "Company" or "Headwater") is pleased to announce that its common shares will begin trading on the Canadian Securities Exchange (the “CSE”) at the open of market on June 8, 2021 under the symbol “HWG”.

 

Company Highlights:

  • - Focused on the discovery of high-grade precious metal deposits in the Great Basin region of the mining friendly Western United States;

    - Technically-driven management team composed of geoscientists with diverse exploration, mining, and capital market backgrounds;

    - Strong Board of Directors including Alistair Waddell, Caleb Stroup, Wendell Zerb, Graeme Currie, and Tero Kosonen;

    - Well-funded with $4.65 million cash and an additional portfolio of marketable securities with a current market value of approximately $1.14 million as of June 7th, 2021;

    - 49.7 million shares outstanding, no warrants, and approximately 41% insider and close associate ownership;

    - Large portfolio of 100%-owned projects, internally generated by the Company through a disciplined, methodical exploration approach;

    - Experienced US based technical team, combining quality geoscience with an aggressive boots on the ground approach.  Three members of the core team hold a doctorate in geologic sciences.

Caleb Stroup, President and CEO of Headwater Gold Inc., commented “We are very excited to enter this next phase as a company and I would like to thank our shareholders for their support over the last two years.  With a large portfolio of 100% owned, high-quality exploration projects and an excellent team, we are staged to make Headwater a great success.  Our strong cash position of approximately $4.65 million puts the Company in a great position to execute an exciting 2021 exploration program in the Western USA.”

 

Corporate Strategy:

Headwater is focused on exploring for high-grade epithermal vein deposits in the mining friendly western United States with a particular focus on Nevada, Idaho, and eastern Oregon.  The Company is specifically targeting epithermal deposits which are among the highest-grade and most profitable gold deposits in the world.

The Headwater team uses a boots on the ground approach, combined with quality, cutting-edge geoscience to generate new exploration concepts and projects.  The Company is focused on exploring for and acquiring new projects by staking claims on open ground; a strategy which has enabled Headwater to build a large portfolio of 100% owned and royalty-free projects over the last two years.  

Headwater intends to drill test several high-priority projects in 2021 with a goal of bringing targets to a decision point as quickly and cost-effectively as possible.  The Company also intends to advance several additional early-stage projects to a drill stage by executing geologic, geochemical, and geophysical programs.  Headwater will also execute a corporate strategy of seeking out strategic alliances and evaluating opportunities to joint venture, option, or sell non-core projects to qualified partners to maximize its exposure to exploration success.

Key Projects:

The Company holds a portfolio of twelve 100% owned projects in Nevada, Idaho, and eastern Oregon.  Initial exploration efforts will focus on the Mahogany and Katey projects in eastern Oregon, where Headwater intends to commence drilling in Q3 2021.

 

Mahogany Project:  Located approximately 20 kilometres northwest of Integra Resources DeLamar project, Mahogany is a geologically high-level epithermal system with high-grade gold at the surface, which includes select Headwater grab samples with gold grades up to 170.0 grams per tonne (“g/t”).  Shallow historic drilling failed to test the potential for high-grade veins at depth along the Main Ridge Fault, the interpreted principal control on alteration and mineralization in the project area.  Headwater has systematically geologically mapped and sampled the project and developed several priority targets which it intends to drill test in 2021.

 

Katey Project:  Located in southeast Oregon, Katey is a high-level epithermal system hosted in a series of linear rhyolite flow domes which intrude an interpreted caldera margin.  At least two structurally hosted alteration cells have been identified on the property.  Shallow historic drilling reportedly encountered both broad intervals of low-grade mineralization (e.g. 0.7 g/t gold over 36.6 metres) and narrow higher grade intervals (e.g. 6.44 g/t gold over 3 metres) although these historic intercepts have not been independently verified by Headwater.  Headwater intends to drill test several new structural targets that the Company has developed.

 

Additional information on the Katey and Mahogany projects can be found in the NI 43-101 Technical Report dated December 27, 2020 as filed on SEDAR at www.sedar.com and as available at the following link: www.headwatergold.com/technicalreports

Additional information on the Company’s other projects can be found on the Company’s website www.headwatergold.com.  Further projects are in development and details will be disclosed as information comes available.

Equity Investments:

The Company holds investments in two publicly traded mineral exploration companies acquired through the disposition of exploration projects.  The Company owns 8,450,000 common shares of Huntsman Exploration Inc. (HMAN.V) and 545,000 common shares of Northern Vertex Mining Corp. (NEE.V).  Headwater also owns a number of royalties on precious metal projects in Nevada, Idaho, and Utah.

Listing:

On May 31, 2021, the Company filed a final prospectus with the British Columbia Securities Commission qualifying the distribution of common shares in the capital of the Company issuable for no additional consideration upon deemed exercise of the 11,629,212 subscription receipts of the Company issued on February 11, 2021 (the “Subscription Receipts”).  On June 3, 2021, the CSE confirmed that the Company had met all CSE requirements for listing, subject to the conversion of the Subscription Receipts.  The Subscription Receipts were converted into common shares of the Company on June 3, 2021 and the funds held in escrow in connection with the issuance of the Subscription Receipts in the amount of $4,070,424 have been released to the Company.  The funds will be used by Headwater to fund the advancement of its mineral properties and the operation of the Company.

Additional information on Headwater can be found in the Company's final prospectus dated May 26, 2021 as filed on SEDAR at www.sedar.com.

About Headwater Gold:

Headwater Gold Inc. is a technically-driven junior mineral exploration company focused on exploring for high-grade precious metal deposits in the Western USA.  Headwater is actively exploring one of the most well-endowed and mining-friendly jurisdictions in the world with a goal of making world-class precious metal discoveries.  Headwater has a large portfolio of epithermal vein exploration projects, and a technical team composed of experienced geologists with diverse capital markets, junior company, and major mining company experience.

 

The Company is well funded and plans an aggressive 2021 exploration season, with the intent to drill several of its 100% owned projects in Nevada, Idaho, and Oregon, including the Company’s flagship Katey and Mahogany projects.

 

For more information, please visit the Company's website at www.headwatergold.com


On Behalf of the Board of Directors

 

"Caleb Stroup"

President & CEO

 

For further information, please contact:

 

Brennan Zerb
Investor Relations Manager
+1 (778) 867-5016
[email protected]

 

Qualified Person

The scientific and technical information contained in this news release has been reviewed and approved by Mr. Derrick Strickland, a “Qualified Person” (“QP”) as defined in National Instrument 43- 101 – Standards of Disclosure for Mineral Projects.

Forward-Looking Statements: 

 

This news release includes certain forward-looking statements and forward-looking information (collectively, "forward-looking statements") within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein including, without limitation, statements regarding future capital expenditures, anticipated content, commencement, and cost of exploration programs in respect of the Company's projects and mineral properties, and the anticipated business plans and timing of future activities of the Company, are forward-looking statements. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Often, but not always, forward looking information can be identified by words such as "pro forma", "plans", "expects", "may", "should", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", "believes", "potential" or variations of such words including negative variations thereof, and phrases that refer to certain actions, events or results that may, could, would, might or will occur or be taken or achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to differ materially from any future results, performance or achievements expressed or implied by the forward-looking statements. Such risks and other factors include, among others, statements as to the anticipated business plans and timing of future activities of the Company, including the Company's exploration plans. the proposed expenditures for exploration work thereon, the ability of the Company to obtain sufficient financing to fund its business activities and plans, delays in obtaining governmental and regulatory approvals (including of the Canadian Securities Exchange), permits or financing, changes in laws, regulations and policies affecting mining operations, the Company's limited operating history, currency fluctuations, title disputes or claims, environmental issues and liabilities, as well as those factors discussed under the heading "Risk Factors" in the Company's prospectus dated May 26, 2021 and other filings of the Company with the Canadian Securities Authorities, copies of which can be found under the Company's profile on the SEDAR website at www.sedar.com.

 

Readers are cautioned not to place undue reliance on forward-looking statements. The Company undertakes no obligation to update any of the forward-looking statements, except as otherwise required by law.

 

Copyright (c) 2021 TheNewswire - All rights reserved.

Today’s News

Phoenix Gold Resources Intersects 47.79 M of 0.85% Copper Successfully Completing Initial Drilling Phase

Vancouver, British Columbia – TheNewswire – October 12, 2021 – Phoenix Gold Resources Corp. (the "Company") (TSXV:PXA) (OTC:PGRCF) (Frankfurt:5DE)…

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Vancouver, British Columbia – TheNewswire - October 12, 2021 – Phoenix Gold Resources Corp. (the "Company") (TSXV:PXA) (OTC:PGRCF) (Frankfurt:5DE) is pleased to provide initial assay results from 100 of 300 samples collected from the core in diamond drill holes YH21-04, -06, -08 and -09 selected for obvious massive sulphide mineralization.  The diamond drill holes were completed as part of the Company’s successful first phase of drilling on the York Harbour Copper-Zinc-Silver Project situated 27 kilometres west of Corner Brook, Newfoundland.

Highlights intersections from initial assay results:

  • - YH21-04 with 9.51 m of 1.69% copper, 125.14 gpt cobalt, 0.13% zinc, and 1.43 gpt silver

(including 1.54 m of 5.2% copper, 287.12 gpt cobalt, 0.07% zinc, and 2.57 gpt silver)

  • - YH21-06 with 47.79 m of 0.85% copper, 91.82 gpt cobalt, 0.57% zinc and 1.53 gpt silver

(including 1.60 m of 9.39% copper, 645.44 gpt cobalt, 0.18% zinc, and 6.9 gpt silver)

(including 5.80 m of 3.52% copper, 283.03 gpt cobalt, 0.09% zinc, and 2.80 gpt silver)

  • - YH21-08 with 6.6 m of 0.62% copper, 66.92 gpt cobalt, 0.65% zinc and 3.37 gpt silver

    - YH21-09 with 9.54 m of 1.69% copper, 238.73 gpt cobalt, 0.11% zinc and 2.83 gpt silver

The drilling program was successful in validating historical drilling results with 6 of the 9 drill holes intersecting massive sulphide mineralization and suggesting even further mineralization extending beyond the historical ‘A’, ‘G’ and ‘H’ zones. Two diamond drill holes encountered a wide fault zone, and a third hole intersected a section of the 400 Level adit and was not completed to its intended depth.  

Drill hole YH21-09 is especially significant since this drill hole was collared to intersect the 'A' zone at depth, but immediately intersected massive sulphide mineralization at the bedrock surface. This intercept indicates that there is significant exploration potential for discovering additional massive sulphide mineralization both along strike and beneath the upper mined portion of the 'A' zone.

The following table summarizes the intervals and weighted average grades for the 100 samples that were selected for their identified massive sulphide mineralization within the 4 drill holes.  Results for the remaining 200 drill core samples that include further visual sulphide mineralization are anticipated in the next few weeks.  

DDH

From

To

Interval

Copper

Cobalt

Zinc

Silver

Target Zone

No.

(m)

(m)

(m)

(%)

(gpt)

(%)

(gpt)

 
                 

YH21-04

180.03

189.54

9.51

1.69

125.14

0.13

1.43

H Zone

including

180.03

182.00

1.97

3.68

257.80

0.08

3.59

 

including

188.00

189.54

1.54

5.20

287.12

0.07

2.57

 

and

196.38

198.12

1.74

0.49

57.26

1.63

0.84

 

DDH
(No.)

From
(m)

To
(m)

Interval
(m)

Copper
(%)

Cobalt
(gpt)

Zinc
(%)

Silver
(gpt)

Target Zone

YH21-06

146.26

194.05

47.79

0.85

91.82

0.57

1.53

H Zone

including

146.26

148.06

1.80

1.19

67.00

5.09

13.47

 

including

152.53

154.85

2.32

0.46

48.29

5.06

2.65

 

including

178.35

179.95

1.60

9.39

645.44

0.18

6.90

 

including

178.35

184.15

5.80

3.52

283.03

0.09

2.80

 

including

179.95

193.20

13.25

1.30

127.01

0.06

1.19

 
                 

YH21-08

122.30

128.90

6.60

0.62

66.92

0.65

3.37

G Zone

including

122.30

125.25

2.95

0.81

103.12

0.50

3.34

 

including

127.25

128.90

1.65

0.61

36.34

1.20

4.95

 
                 

YH21-09

5.00

14.54

9.54

1.69

238.73

0.11

2.83

A Zone


The above intervals are drilling lengths, not true widths, because the true orientation of the mineralization has not yet been established.

It is interesting to also note that there are significantly elevated cobalt values, ranging from less than 100 to 918 ppm, commonly associated with the higher copper grades.  More studies will be carried on this valuable accessory element once the balance of the Phase 1 analytical results have been received.

Andrew Lee, President and CEO commented “As we hoped, the preliminary assay results from our Phase 1 drilling program have successfully demonstrated the copper potential at York Harbour and validated near-surface mineralization. The results from the remaining 200 drill core samples which are expected shortly, will further enhance our knowledge and understanding of the project as we enter Phase 2 drilling.”

QA / QC Comments

Three hundred Phase 1 diamond drill core samples of sawn core have been collected from core lengths usually varying from 0.3 to 1.50 m depending upon geological and mineralogical constraints.  Of this total, one hundred core samples were initially delivered to Activation Laboratories (“ActLabs”) in Ancaster, Ontario, an ISO/IEC-accredited laboratory.  There they were crushed to a nominal minus 2 mm, split into representative sub-samples and then pulverized to at least 95% minus 105 microns before collecting sub-sample pulps from each of the core samples.

All sub-sample pulps were initially analyzed for 36 elements using ICP QC procedures which included fusing with Na2O2.  The fused samples were then dissolved in purified water and acidified with concentrated nitric and hydrochloric acids. The solutions were then measured by an ICP.  Samples are analyzed with a minimum of 10 certified reference materials, and every 10th sample was prepared and analyzed in duplicate plus a blank is prepared every 30 samples and analyzed.  In addition, a 5 g sub-sample pulp for each core sample was analyzed for gold using fire assay fusion techniques with an atomic absorption finish (‘FA/AA’).  On each tray of 42 samples there is two blanks, three sample duplicates and 2 certified reference materials, one high and one low (QC 7 out of 42 samples).

Based upon the initial ICP results, any element returning predetermined over-limit values, specifically for copper, zinc, silver and gold, were automatically assayed using conventional assay procedures.  There were no over limit gold values but there were several copper, zinc and silver over- limit ICP results.  For each of these samples a 5 g sub-sample was split and assayed using conventional fire assay procedures with an atomic absorption finish (‘FA/AA’).  The laboratory QA/QC procedures for these samples were the same as for the previous gold FA/AA analyses.

J.D. Blanchflower, P. Geo. is a qualified person in accordance with National Instrument 43-101 and has reviewed and approved the scientific and technical information contained in this news release.

For further information contact:

Andrew Lee CEO, President and Director

Telephone: 778-302-2257 | Email: [email protected]  

Website: www.phoenixgoldresources.ca  

1518 – 800 Pender Street W, Vancouver, BC, Canada V6C 2V6

 

Cautionary Statement Regarding Forward-Looking Information

 

This news release may contain “forward-looking information” and “forward-looking statements” within the meaning of applicable Canadian securities legislation. All information contained herein that is not historical in nature may constitute forward-looking information. Forward-looking statements herein include but are not limited to statements relating to the prospects for development of the Company's mineral properties, and are necessarily based upon a number of assumptions that, while considered reasonable by management, are inherently subject to business, market and economic risks, uncertainties and contingencies that may cause actual results, performance or achievements to be materially different from those expressed or implied by forward looking statements. Except as required by law, the Company disclaims any obligation to update or revise any forward-looking statements. Readers are cautioned not to put undue reliance on these forward-looking statements. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.

 

Copyright (c) 2021 TheNewswire - All rights reserved.

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Today’s News

Pure Gold Mining Inc. Closes Previously Announced Non-Brokered Financing of Approximately C$3.47 Million

THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT AUTHORIZED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION…

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THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT AUTHORIZED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

VANCOUVER, British Columbia, Oct. 15, 2021 (GLOBE NEWSWIRE) -- Pure Gold Mining Inc. (TSXV:PGM LSE:PUR) (“PureGold” or the “Company”) is pleased to announce that it has closed the non-brokered private placement (the “Offering”) announced on October 5, 2021.

Pursuant to the Offering, the Company issued a total of 3,307,619 units of the Company (the “Units”) to AngloGold Ashanti Limited (“AngloGold”) at a price of C$1.05 per Unit, for aggregate gross proceeds of approximately C$3,473,000. The Offering brings AngloGold’s ownership percentage in the Company to 14.96% of the issued and outstanding common shares on a non-diluted basis upon completion of the Offering.

Each Unit consists of one common share of the Company (a “Unit Share”) and one-half of one common share purchase warrant (each whole common share purchase warrant, a “Warrant”). Each Warrant is transferrable and entitles the holder to acquire one common share of the Company until April 15, 2023, at a price of C$1.36.

Due to its share ownership, AngloGold is considered a “related party” of Pure Gold and, accordingly, the Offering constitutes a “related party transaction” within the meaning of Multilateral Instrument 61-101 (“MI 61-101”). The Offering was exempt from the minority approval requirement of Section 5.6 and the formal valuation requirement of Section 5.4 of MI 61-101 as neither the fair market value of the Offering, nor the fair market value of the consideration of the Offering, exceeded 25% of Pure Gold’s market capitalization. A material change report in connection with the Offering will be filed less than 21 days before the closing of the Offering. This shorter period was reasonable and necessary in the circumstances as the Company wished to complete the Offering in a timely manner.

The net proceeds received from the Offering will be used to fund the continued ramp up of operations at its 100%-owned PureGold Mine Project located in Red Lake, Ontario, underground drilling and development of the high-grade 8 zone, and for general corporate purposes. The securities issued under the Offering have a hold period of four months and one day from closing, expiring on February 16, 2022.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold to U.S. Persons (as such term is defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws, or an exemption from such registration is available.

ABOUT PURE GOLD MINING INC.

PureGold is a growth company, located in the very heart of Red Lake, Canada. Our objective is pure and simple. To develop a highly-profitable long life gold mining company, becoming Canada’s next iconic gold producer. Our plan is very disciplined, very methodical and financially sound. To expand organically, and develop PureGold’s multi-million ounce high grade gold asset incrementally, step-by-step, using a phased mining development plan to deliver maximum return.

ON BEHALF OF THE BOARD
"Darin Labrenz"
Darin Labrenz, President & CEO

For further information:
Adrian O’Brien
Director, Marketing and Communications
604-809-6890
[email protected]

Forward-Looking Information

This news release contains "forward-looking information" which may include, but is not limited to, statements with respect to the future financial or operating performance of the Company and its projects and the expected use of proceeds of the Offering. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements contained herein are made as of the date of this press release and the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. The Company undertakes no obligation to update forward-looking statements if circumstances, management's estimates or opinions should change, except as required by securities legislation. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements.


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Today’s News

Benton and Sokoman Enter into Mutual Participation Agreements Governing Cost Reimbursement Under Their Strategic Exploration Alliance

Thunder Bay, Ontario–(Newsfile Corp. – October 15, 2021) – Benton Resources Inc. (TSXV: BEX) ("Benton") and Sokoman Minerals Corp. (TSXV: SIC) (OTCQB:…

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Thunder Bay, Ontario--(Newsfile Corp. - October 15, 2021) - Benton Resources Inc. (TSXV: BEX) ("Benton") and Sokoman Minerals Corp. (TSXV: SIC) (OTCQB: SICNF) ("Sokoman") (jointly, "the Companies" or singularly a "Joint Venture Party") are pleased to announce that they have entered into mutual participation agreements (the "Participation Agreements") that govern cost reimbursement between the Companies relating to certain option agreements entered into by each of Benton and Sokoman on behalf of their strategic exploration alliance announced on May 20, 2021. Pursuant to the strategic alliance the Companies agreed to share, on a 50/50 basis, exploration costs and costs associated with the exercise of property options entered into by either party on behalf of the strategic alliance. In cases where one of the Joint Venture Parties enters into an option agreement that requires shares to be issued to a third party optionor the other Joint Venture Party will contribute its 50% of the costs by reimbursing the first company for 50% of the option payments. Where common shares are required to be issued as part of the option payments in order to ensure that the costs are equally divided the monetary value of such shares will be calculated and the Joint Venture Party that did not enter into the option agreement will issue such number of shares to the Joint Venture Party that did enter into the option agreement that have a monetary value equal to 50% of the value of the shares issued by the Joint Venture Party that has entered into the option agreement.

Sokoman and Benton have on behalf of the strategic alliance, each entered into two property option agreements that have previously been announced that are being contributed to the strategic alliance and governed by the Participation Agreements. The Participation Agreements simply formalize and clarify what cash payments and share issuances are required to be made by the Joint Venture Party that did not directly enter into a particular option agreement in order to reimburse the Joint Venture Party that did enter into the option agreement.

  1. Benton Participation Agreement

    1. Sokoman entered into an option agreement that provides it with the right to acquire a 100% interest in a mineral license consisting of seven mineral claims (the "Lewis Option") lying within the Grey River Gold Property. In order to exercise the Lewis Option Sokoman is required to make four cash payments of $10,000 each by June 15, 2024, and issue four tranches of shares of 50,000 each by June 15, 2024 (see Sokoman news release dated July 13, 2021). In accordance with the terms of the Benton Participation Agreement in order to contribute its 50% of the costs of the Lewis Option Benton will, to the extent that Sokoman continues to exercise the Lewis Option, reimburse Sokoman by: a) paying to Sokoman 50% of the cash payments made by Sokoman to exercise the Lewis Option ($20,000); and b) issuing to Sokoman such number of shares of Benton having a value equal to 50% of the value of each tranche of shares Sokoman issues to exercise the Lewis Option (292,208 Benton shares - 100,000 Sokoman shares at a floor price of $0.45 = $45,000 / $0.154 floor price for Benton shares).

    2. Sokoman entered into an option agreement that provides it with the right to acquire a 100% interest (subject to a 1.5% NSR, two-thirds of which may be purchased for $1 million) in three licenses consisting of four mineral claims (the "G2B Option") lying within the Grey River Gold Property. In order to exercise the G2B Option Sokoman is required to make three annual cash payments of $10,000 each and issue three tranches of shares of 50,000 each (see Sokoman news release dated July 13, 2021). In accordance with the terms of the Benton Participation Agreement in order to contribute its 50% of the costs of the G2B Option Benton will, to the extent that Sokoman continues to exercise the G2B Option, reimburse Sokoman by: a) paying to Sokoman 50% of the cash payments made by Sokoman to exercise the G2B Option ($15,000); and b) issuing to Sokoman such number of shares of Benton having a value equal to 50% of the value of each tranche of shares Sokoman issues to exercise the G2B Option (219,156 Benton shares - 75,000 Sokoman shares at a floor price of $0.45 = $33,750 / $0.154 floor price for Benton shares).

  2. Sokoman Participation Agreement

    1. Benton entered into an option agreement that provides it with the right to acquire a 100% interest (subject to a 2% NSR, half of which may be purchased for $1 million) in eleven mineral claims (the "Keats Option") at the Kepenkeck gold project. In order to exercise the Keats Option Benton is required to make the following cash payments and issue the following shares: (i) an initial $10,000 and issue 200,000 shares; (ii) on the first anniversary $20,000 and issue 200,000 shares; (iii) on the second anniversary $20,000 and issue 200,000 shares; and (iv) on the third anniversary $40,000 and issue 400,000 shares (see Benton news release dated May 6, 2021). In accordance with the terms of the Sokoman Participation Agreement in order to contribute its 50% of the costs of the Keats Option Sokoman will, to the extent that Benton continues to exercise the Keats Option, reimburse Benton by: a) paying to Benton 50% of the cash payments made by Benton to exercise the Keats Option ($45,000); and b) issuing to Benton such number of shares of Sokoman having a value equal to 50% of the value of each tranche of shares Benton issues to exercise the Keats Option (171,111 Sokoman shares - 500,000 Benton shares at a floor price of $0.154 = $77,000 / $0.45 floor price for Sokoman shares).

    2. Benton entered into an option agreement that provides it with the right to acquire a 100% interest (subject to a 2% NSR, one-half of which may be purchased for $1 million) in two licenses consisting of thirty mineral claims at Larry's Pond (the "Rogers Option"). In order to exercise the Rogers Option Benton is required to make the following cash payments and issue the following shares: (i) an initial $10,000 and issue 50,000 shares; (ii) on the first anniversary $10,000 and issue 50,000 shares; (iii) on the second anniversary $10,000 and issue 50,000 shares; and (iv) on the third anniversary $30,000 and issue 50,000 shares (see Benton news release dated June 29, 2021). In accordance with the terms of the Sokoman Participation Agreement in order to contribute its 50% of the costs of the Rogers Option Sokoman will, to the extent that Benton continues to exercise the Rogers Option, reimburse Benton by: a) paying to Benton 50% of the cash payments made by Benton to exercise the Rogers Option ($30,000); and b) issuing to Benton such number of shares of Sokoman having a value equal to 50% of the value of each tranche of shares Benton issues to exercise the Rogers Option (34,222 Sokoman shares - 100,000 Benton shares at floor price of $0.154 = $15,400 / $0.45 floor price for Sokoman shares).

  3. For the purposes of paragraph 1 and 2 above: a) the value of Sokoman shares issued or to be issued to exercise the Lewis Option, the G2B Option or shares to be issued under the Sokoman Participation Agreement shall be the share price that is the greater of $0.45 and the 20-day volume weighted average price (the "VWAP") of Sokoman shares prior to the day the Sokoman shares are issued, and b) the value of Benton shares to be issued to exercise the Keats Option, the Rogers Option or shares to be issued under the Benton Participation Agreement shall be the share price that is the greater of $0.154 and the 20-day VWAP of Benton shares prior to the day that Benton shares are issued.

About Benton Resources Inc.

Benton Resources is a well-funded Canadian-based project generator with a diversified property portfolio in Gold, Silver, Nickel, Copper, and Platinum group elements. Benton holds multiple high-grade projects available for option that can be viewed on the company's website. Parties interested in seeking more information about properties available for option can contact Mr. Stares directly.

About Sokoman Minerals Corp.

Sokoman Minerals Corp. is a discovery-oriented company with projects in the province of Newfoundland and Labrador, Canada. The company's primary focus is its portfolio of gold projects: Moosehead, Crippleback Lake (optioned to Trans Canada Gold Corp.) and East Alder (optioned to Canterra Minerals Corporation) along the Central Newfoundland Gold Belt, and the recently acquired district-scale Fleur de Lys project in northwestern Newfoundland, that is targeting Dalradian-type orogenic gold mineralization similar to the Curraghinalt and Cavanacaw deposits in Northern Ireland, and Cononish in Scotland. The company also recently entered into a strategic alliance with Benton Resources Inc. through three large-scale joint-venture properties including Grey River, Golden Hope and Kepenkeck in Newfoundland. Sokoman now controls independently and through the Benton alliance over 150,000 hectares (>6,000 claims) of land, making the company one of the largest landholders in Newfoundland, Canada's newest and rapidly emerging gold districts. The company also retains an interest in an early-stage antimony/gold project (Startrek) in Newfoundland, optioned to White Metal Resources Inc., and in Labrador, the company has a 100% interest in the Iron Horse (Fe) project that has Direct Shipping Ore (DSO) potential.

CHF Capital Markets
Cathy Hume, CEO
Phone: 416-868-1079 x 251
Email: [email protected]

Benton Resources Inc.
Stephen Stares, President & CEO
Phone: 807-475-7474
Email: [email protected]

Sokoman Minerals Corp.
Timothy Froude, P.Geo., President & CEO
Phone: 709-765-1726
Email: [email protected]

Website: www.bentonresources.ca, www.sokomanmineralscorp.com
Twitter: @BentonResources, @SokomanMinerals
Facebook: @BentonResourcesBEX, @SokomanMinerals

THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

The information contained herein contains "forward-looking statements" within the meaning of applicable securities legislation. Forward-looking statements relate to information that is based on assumptions of management, forecasts of future results, and estimates of amounts not yet determinable. Any statements that express predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance are not statements of historical fact and may be "forward-looking statements."

Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation: risks related to failure to obtain adequate financing on a timely basis and on acceptable terms; risks related to the outcome of legal proceedings; political and regulatory risks associated with mining and exploration; risks related to the maintenance of stock exchange listings; risks related to environmental regulation and liability; the potential for delays in exploration or development activities or the completion of feasibility studies; the uncertainty of profitability; risks and uncertainties relating to the interpretation of drill results, the geology, grade and continuity of mineral deposits; risks related to the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses; results of prefeasibility and feasibility studies, and the possibility that future exploration, development or mining results will not be consistent with the Companies' expectations; risks related to gold price and other commodity price fluctuations; and other risks and uncertainties related to the Companies' prospects, properties and business detailed elsewhere in the Companies' disclosure record. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Investors are cautioned against attributing undue certainty to forward-looking statements. These forward-looking statements are made as of the date hereof and the Companies do not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from the Companies' expectations or projections.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/99881

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