Business
Bravada Reacquires Quito Property; Reports on Corporate Matters
Vancouver, British Columbia--(Newsfile Corp. - January 29, 2018) - Bravada Gold Corporation ...
About this update from Bravada Gold Corporation
[{"type":"text","content":"Bravada Reacquires Quito Property; Reports on Corporate MattersVancouver, British Columbia--(Newsfile Corp. - January 29, 2018) - Bravada Gold Corporation (TSXV: BVA) (OTCQB: BGAVF) (FSE: BRTN) (the \"Company\" or \"Bravada\") has received notice that Coeur Explorations, Inc. (\"Coeur\") has elected to relinquish its option to purchase Bravada's interest in the Quito property located along the Austin Gold trend in central Nevada. Since July 2015 Coeur has been funding Bravada, as Operator, in the conduct of exploration at Quito, with recent emphasis upon completion of permitting to allow drilling in 2018 at the Quito Extension target, which was developed during the 2016 exploration program. Approximately US$600,000 has been received by Bravada via this funding, which has been credited to its earn-in obligations to earn its interest in Quito.Bravada can earn a 70% interest in the Quito project by conducting US$2.5MM in work expenditures by 2020, of which approximately 50% has been spent to date and with additional work expenditures not becoming due until 2019. Within 60 days after Bravada's earn-in, Meridian Minerals Corp. (the Optionor) can either: 1) elect to participate in further exploration and development expenditures at 30%, 2) elect to earn a 51% working interest should a deposit of greater than 2 million ounces be discovered by the earn-in date by paying Bravada 300% of Bravada's exploration expenditures and funding Bravada's share of capital expenditures to bring the Property into commercial production (repaid out of 80% of Bravada's cash flow from its 49% working interest in the Mine), or 3) elect to reduce to a 2% NSR royalty and receive either 500,000 shares of Bravada stock or $500,000 cash at Bravada's option. No other royalties encumber the property. The geological setting at Quito resembles many of Nevada's largest and richest Carlin-style gold deposits. Mineralization is concentrated in Paleozoic-age carbonate sediments, with the highest grades being associated with fault intersections along the axis of a property-scale anticline. The Quito Extension target was developed by 3D computer modeling of historic drill-hole assays and surviving blast-hole data and shows a strong southeasterly plunge of the highest-grade gold mineralization, much of which assayed 15g/t Au in the Quito pit. Other targets were also advanc...