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Millrock Resources Forms Strategic Alliance With Felix Gold and Vends Three Projects, Fairbanks Gold District, Alaska
VANCOUVER, British Columbia, Jan. 12, 2021 (GLOBE NEWSWIRE) -- Millrock Resources Inc. (TSX-V: MRO, OTCQB: MLRKF) ("Millrock" or the “Company”) announces that i
About this update from Alaska Energy Metals Corporation
[{"type":"text","content":" VANCOUVER, British Columbia, Jan. 12, 2021 (GLOBE NEWSWIRE) -- Millrock Resources Inc. (TSX-V: MRO, OTCQB: MLRKF) (\"Millrock\" or the “Company”) announces that it has sold its Treasure Creek, Ester Dome, and Liberty Bell projects (“Projects”) to Alaska-domiciled subsidiary companies of Felix Gold Ltd. (Australia) (“Felix Gold”) for a future share payment, US$210,000 in cash, and retained royalties. Felix Gold will have the right to secure 100% ownership in the projects in accordance with the underlying option agreements. Felix Gold is planning to undertake an initial public offering (“IPO”) and listing on the Australian Securities Exchange (“ASX”) in 2021. Upon successful listing and ASX approval, Millrock will vest with a circa 10% share ownership of Felix Gold (dependent on the final capital raising amount). Each of the three projects is subject to a production royalty in favour of Millrock: Treasure Creek 2.0% Net Smelter Returns (“NSR”); Ester Dome 1.5% NSR; and Liberty Bell 2.0% NSR. Each of the royalties has an initial Advanced Minimum (“AMR”) payment of US$50,000 per year that is triggered when certain milestones are met. The AMR payments increase by US$50,000 each year. AMR payments made to Millrock are deductible from future production royalty payments. Additionally, two company’s technical teams will work together under a Strategic Alliance agreement to generate further projects in the Fairbanks Gold District. Felix Gold will contribute a minimum of US$250,000 annually for this work and future property acquisitions. Mineral rights acquired under strategic alliance efforts will be subject to a 1.0% NSR production royalty in favour of Millrock. Felix Gold will be engaging Millrock through a Services Agreement to provide staff, infrastructure and equipment. Millrock President & CEO Gregory Beischer commented, “We are very pleased with this development. Millrock envisions a systematic, concerted, and sustained exploration effort in the Fairbanks Gold District with numerous drilling programs in the years to come. The Fairbanks Gold District offers promising chances for new gold deposit discovery success and rewards for our shareholders. The new company, Felix Gold, of which Millrock will become a significant shareholder, is named after Felix Pedroni, the prospector credited with the initial discovery of gold in Fairba...