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Aston Bay Holdings and BHP Billiton Ltd. Sign Letter of Intent to Advance the Storm Copper Project
(via Thenewswire.ca) Vancouver, Canada / TheNewswire / January 28 , 2016 - Aston Bay Ho...
About this update from Aston Bay Holdings Ltd.
[{"type":"text","content":"Aston Bay Holdings and BHP Billiton Ltd. Sign Letter of Intent to Advance the Storm Copper Project(via Thenewswire.ca)\n \n \nVancouver, Canada / TheNewswire / January 28, 2016 - Aston Bay Holdings Ltd. (TSX-V: BAY) (\"Aston Bay\" or the \"Company\") is pleased to announce that it has signed an exclusive Letter of Intent (\"LOI\") with a wholly owned Canadian Subsidiary of BHP Billiton Ltd. (\"BHPB\") to cooperatively advance the Storm Copper Project (\"Storm\"). Under the terms of the LOI, BHPB may earn a 75% interest in Storm, with a provision in place to convert into a Joint Venture agreement. \n\n\n \n\n\n\n \nTo earn a 75% interest in Storm, the LOI anticipates BHPB spending a minimum of CDN$40 million on exploration at Storm within nine years (including a minimum of CDN$2.5 million within two years) of signing a definitive agreement (the \"Definitive Agreement\"). Aston Bay will have no required exploration expenses for four years from the date of signing the Definitive Agreement. BHPB and Aston Bay are currently discussing terms of the Definitive Agreement, and are targeting completion during the second quarter of 2016. Aston Bay is to hold a gross overriding royalty (\"GOR\") of 0.3% on all mineral claims covered by the agreement outside of Aston Bay's area of mutual interest with Commander Resources Ltd. (\"Commander\").\n\n\n \n\n\n\n \n\"We are very pleased to have attracted, as a partner, a top-tier global mining company with a track record of building and operating some of the world's largest copper mines. This new partnership is a testament to the exploration potential at the Storm Copper Project,\" said Benjamin Cox, Chief Executive Officer of Aston Bay. \"Our agreement with BHP Billiton will advance the Storm Copper Project without significant equity dilution for Aston Bay's shareholders, leaving Aston Bay with a meaningful interest in the project.\"\n\n\n \n\n\n\n \nBHPB has also agreed to pay Aston Bay CDN$325,000 at the time of signing the Definitive Agreement.\n\n\n \n\n\n\n \nThe Storm Copper Project, located on Somerset Island, Nunavut, covers a 100km-plus strike length of mineralized showings within stratigraphy favourable for sediment-hosted copper mineralization. Historical drilling focused on the mineralized zones cropping out at surface and included 110 metres (m) of 2.45% copper and 56m of 3.07% coppe...