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Getchell Signs Definitive Agreement to Acquire Two Advanced Stage Nevada Exploration Projects
Toronto, Ontario--(Newsfile Corp. - January 7, 2020) - Getchell Gold Corp. (CSE: GTCH) ("Compa...
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[{"type":"text","content":"Getchell Signs Definitive Agreement to Acquire Two Advanced Stage Nevada Exploration ProjectsToronto, Ontario--(Newsfile Corp. - January 7, 2020) - Getchell Gold Corp. (CSE: GTCH) (\"Company or Getchell\") announces that it has executed the Definitive Agreement (Agreement) with Canarc Resources Corp. (TSX: CCM) (OTCQB: CRCUF) (FSE: CAN) (\"Canarc\"), whereby Getchell will have the option to acquire 100% of the Fondaway Canyon and Dixie Comstock properties located in Churchill County Nevada. The Agreement replaces the binding letter agreement (the \"Binding Letter Agreement\") which Getchell previously disclosed in its news release dated November 17, 2019. The Company is in the process of delivering the initial cash and share payments as required by the Agreement. Fondaway Canyon was the subject of a 2017 Technical Report commissioned by Canarc Resources Corp. with a historical estimate of Indicated resources of 409,000 oz. Au grading 6.18 g/t and Inferred resources of 660,000 oz. Au grading 6.4 g/t. Canarc drilled 7 holes in 2017 which all intersected multi-gram mineralization, both within the area of the historical estimate and outside, that have not been included in the Technical Report. In addition, there are multiple untested exploration targets, including near-surface oxide gold that are located along structure and in favorable host rock. Dixie Comstock has a historic resource estimate, and mineralization remains open down-dip and to the east.\"The acquisition of these two properties, boasting significant gold in the ground, dramatically transforms and elevates Getchell in prominence which is further enhanced by the recent strength in the price of gold” states Mr. Bill Wagener, CEO of Getchell.Definitive AgreementUnder the terms of the Agreement and consistent with the Binding Letter Agreement, Getchell can acquire 100% of the projects at any time on or before the 4th anniversary of the agreement by paying Canarc a total of US $2.0M in cash and US $2.0M in Getchell shares and granting Canarc a 2% NSR in the Fondaway Canyon and Dixie Comstock projects (one percentage point of the NSR can be bought out for US $1,000,000 on each project).Payment Terms:Within five (5) days of the signing of the Agreement:– US $100,000 in cash and US $100,000 in shares1st Anniversary - US $100,000 in cash and US $200,000 in shares2...