Business
Regency Gold Executes Agreement with Benton on the Thunder Bay North and Escape Lake Platinum Group Metal Properties and Change of Business
Vancouver, British Columbia--(Newsfile Corp. - October 17, 2019) - Regency Gold Corp. (TSXV: R...
About this update from Benton Resources, Inc.
[{"type":"text","content":"Regency Gold Executes Agreement with Benton on the Thunder Bay North and Escape Lake Platinum Group Metal Properties and Change of BusinessVancouver, British Columbia--(Newsfile Corp. - October 17, 2019) - Regency Gold Corp. (TSXV: RAU.H) (\"Regency\" or the \"Company\") is pleased to announce that it has signed an arm's-length non-binding letter of intent (the \"LOI\") dated October 11, 2019, with Benton Resources Inc. (\"Benton\") (TSXV: BEX) which sets out a proposed transaction pursuant to which Benton will grant Regency an option (the \"Option\") to acquire Benton's rights to acquire, under its pre-existing agreements with Rio Tinto Exploration (Canada) Inc. (\"RTEC\") (the \"RTEC Agreement\") and Panoramic Resources Inc. (\"PAN\")(the \"Pan Agreement\"), a 100% right, title and interest in the Escape Lake Property (the \"Escape Lake Property\") and the Thunder Bay North Project (the \"TBN Project\"), respectively.The TBN Project is located approximately 50km northeast of Thunder Bay within the Thunder Bay Mining Division in north-west Ontario, Canada, in the northern part of the Proterozoic Midcontinental Rift region, an important emerging Ni-Cu-PGM province. The TBN Project consists of 219 unpatented mining claims (2,551 claim units of 16 hectares) covering approximately 40,816 hectares. The 220 hectare Escape Lake Property is located within the TBN Project claim block and along the interpreted conduit system which contains/controls the Pt-Pd-Base Metal mineralization on the TBN Project. RTEC staked the Escape Lake block in 2006 and performed successive rounds of limited diamond drilling between 2010 and 2012.Proposed TransactionUnder the terms of the LOI, Regency may exercise the Option by completing the following: Issuing to Benton an aggregate of 24,615,384 common shares (the \"Regency Shares\") in the capital of Regency;Fulfilling the remaining terms of the RTEC Agreement that Benton has with RTEC on the Escape Lake Property; Fulfilling the remaining terms of the Pan Agreement that Benton has with Pan on the TBN Project; andIssuing to Benton a 0.5% net smelter return royalty from production on the Escape Lake property and a 0.5% net smelter return royalty from production on any mineral claims comprising the TBN Project that a net smelter royalty has not previously been granted.Under the RTEC Agreement, Benton was gran...