VANCOUVER, British Columbia — Nevada Sunrise Gold Corp. signed a definitive agreement to acquire a 100 percent interest in the historic Lovelock Cobalt Mine property in Churchill County, approximately 100 miles east of Reno.
The agreement, announced Dec. 29, stipulates that the company will earn a 100 percent interest in the property through cash payments and common shares payments to an underlying vendor payable over three years from the signing of the agreement, subject to a 2.0 percent net smelter returns royalty, as follows:
- A $3,000 cash payment for an exclusive due diligence period (paid);
- On the later of TSX Venture Exchange approval and signing of the agreement: $15,000 in cash and 200,000 common shares of the company;
- First anniversary: $20,000 in cash and 200,000 common shares of the company;
- Second anniversary: $25,000 in cash and 250,000 common shares of the company;
- Third anniversary: $30,000 in cash and 300,000 common shares of the company.
Closing of the acquisition is subject to acceptance of the agreement by the TSX Venture Exchange.
Nevada Sunrise is a junior mineral exploration company based in Canada that holds interests in gold, cobalt and lithium exploration projects in Nevada.
The company’s two key gold assets include a 100 percent interest in the Golden Arrow project near Tonopah, currently the subject of an option earn-in transaction with Emgold Mining Corp. and a 21 percent interest in a joint venture with Liberty Gold Inc. at Kinsley Mountain near Wendover, with each of the properties subject to certain production royalties.
Nevada Sunrise began acquisitions of Nevada lithium properties in 2015, which includes 100 percent interests in the Neptune, Jackson Wash and Aquarius projects, a 50 percent interest in the Gemini project, and the right to earn 100 percent of the Atlantis project, currently under option to American Lithium Corp.