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Element79 Gold Announces Sale of 100% Interest in Elder Creek, North Mill Creek, and Elephant Projects to 1472886 B.C.
Vancouver, BC – TheNewswire - September 9, 2024 – Element79 Gold Corp. (CSE: ELEM, OTC: ELMGF, FSE 7YS, the “Company” or “Element79 Gold”) is pleased to announc
About this update from Element79 Gold Corp.
[{"type":"text","content":"Vancouver, BC – TheNewswire - September 9, 2024 – Element79 Gold Corp. (CSE: ELEM, OTC: ELMGF, FSE 7YS, the “Company” or “Element79 Gold”) is pleased to announce that it has entered into a definitive agreement to sell a 100% interest in the Elder Creek, North Mill Creek, and Elephant projects, all located in Lander County, Nevada, to 1472886 B.C. Ltd. (“1472886”), a private British Columbia-based company. The transaction, which is a strategic decision by Element79 Gold to streamline its asset portfolio and focus on its core projects, involves the transfer of all rights and obligations, including historical data and core materials in the following properties: Elder Creek Project: Six unpatented claims North Mill Creek Project: Twenty-three unpatented claims Elephant Project: One hundred ninety-seven unpatented claims As part of the agreement, Element79 Gold Corp. will receive a non-refundable cash payment of USD 45,200 and an aggregate of 5,000,000 common shares of NEWCO at a deemed price of C$0.10 per share, for a total consideration of C$545,200. Strategic Rationale for the Sale Since acquiring the Nevada portfolio from Waterton Global Resource Management in 2021, the Company had stratified projects based on their level of advancement, historical drilling and exploration results and overall value for retention, sale or release. Following in similar asset sale processes undertaken by the sale of assets to Centra Mining Ltd. and Sun Silver Ltd., the divestment is part of Element79’s broader strategy to streamline its portfolio, concentrating on its most promising assets while maintaining exposure to the future upside of the Nevada projects through its equity stake in NEWCO. Element79 Gold Corp. CEO and Director James Tworek commented: “This transaction is another key step in optimizing our portfolio and concentrating our resources on our flagship projects. The assets in this portfolio represent excellent resource exploration potential, and we are confident that NEWCO, with its strong focus on development, is well-suited to unlock their value. This deal not only strengthens our balance sheet but also allows us to retain an interest in the future success of these projects through the share consideration.” Details of the Transaction Under the terms of the agreement, NEWCO will acquire all books, records, and data associa...