Business
Galileo executes Silverton Farm-Out Agreement
Galileo executes Silverton Farm-Out Agreement.
About this update from Galileo Resources Plc
[{"type":"text","content":"\n \nRNS Number : 2787C Galileo Resources PLC 27 June 2016 \n\n \n \nFor immediate release\n \nGalileo Resources PLC \nAIM: GLR\n \n27 June 2016\nGalileo Resources Plc\n(\"Galileo\" or \"the Company\")\n \nGALILEO EXECUTES EARN-IN AGREEMENT TO FARM OUT SILVERTON GOLD PROPERTY IN NEVADA USA \nGalileo is pleased to announce that it has executed an Earn-In Agreement (\"Agreement\") with Orogen Gold plc (\"Orogen\") following completion of Orogen's due diligence covering the Silverton gold-silver property (\"Property\") in Nevada, USA, as envisaged under the terms of a previously signed Term Sheet announced in an RNS on 21 April 2016. Orogen will have the right to earn-in to an initial 51% interest in the Property by way of exploration expenditure of US$400,000 within 18 months and thereafter the possibility to spend an additional US$1,500,000 within 30 months to earn-in a further 24% interest, in total 75%, in the Property. \n \nGalileo will have the right to participate pro rata after Orogen's initial 51% earn-in; should it exercise this right it would retain a 49% equity interest in the Property. Refer to Summary of Terms of Agreement below for further details.\n \nHighlights\n· Galileo executes Earn-In Agreement following Orogen's successful due diligence \n· Orogen has the right to earn an initial 51% interest in the Silverton Property over the 6km² claim area through exploration spend of US$400,000 over 18 months\n· Orogen may earn an additional 24% interest in the Property through a further exploration spend of US$1.5 million over a subsequent 30 month period\n· Galileo retains the right to participate pro rata after Orogen's initial 51% earn-in\n· Property site visit identifies new target with historic silver/gold workings along cross structure\n· Orogen commences focussed re-mapping and sampling programme to confirm sites for an initial diamond drilling phase \n· Farm-out in line with Galileo's strategy of focusing its available resources on its South African copper project. \n \nAndrew Sarosi, executive director commented: \"We are pleased to have concluded this agreement with Orogen, whic...