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Pure Nickel Closes Transaction - Becomes Eric Sprott's 51% Partner on the Neal Project
Toronto, Ontario--(Newsfile Corp. - May 13, 2019) - Pure Nickel Inc. (TSXV: NIC) (the "Company...
About this update from Galleon Gold Corp
[{"type":"text","content":"Pure Nickel Closes Transaction - Becomes Eric Sprott's 51% Partner on the Neal ProjectToronto, Ontario--(Newsfile Corp. - May 13, 2019) - Pure Nickel Inc. (TSXV: NIC) (the \"Company\" or \"Pure Nickel\") is pleased to announce that it has closed the previously announced transaction with a company controlled by Eric Sprott (\"Sprott Mining\") to become the 51% operating and controlling partner in the Neal Development Limited Partnership (\"Neal LP\") which holds a lease to operate the Neal Project (see Pure Nickel press release dated April 30, 2019). Pursuant to terms of the Agreement (\"Agreement\") the Company issued to Sprott Mining 10,221,732 shares of Pure Nickel making Sprott Mining a significant strategic shareholder with 13% of the issued and outstanding shares of the Company. Pure Nickel's President and CEO, R. David Russell, commented: \"It has been a pleasure working with the Sprott Mining team to come to terms on the Agreement and close this transaction so quickly. We are looking forward to getting on the ground and driving value for our shareholders and our new partner.\"About the Neal LP and Sprott Mining PartnershipOn April 29, 2019 Pure Nickel signed an Agreement to acquire an operating and controlling interest in the Neal LP (completed). In addition, the Company has an earn-in option to acquire an additional 27% of the Neal LP, and seven unpatented mining claims by raising between US$1-1.5 million for an exploration drilling program. Upon completion of this future financing, Pure Nickel has the option to pay Sprott Mining $84,706 to exercise its option to acquire the remaining 27% of the Neal LP. Upon completion of this earn-in option, Pure Nickel will own 78% of Neal LP, Sprott Mining will retain 20% and a separate party will continue to hold the remaining 2%. Terms of the Agreement are more fully outlined in the Company's press release dated April 30, 2019. About the Neal ProjectThe Neal Project is a high-grade gold-dominant discrete vein system with at least five veins known to date. It is located near Boise, Idaho and has excellent access via 20 kilometers of improved gravel and dirt roads from Interstate-84. The Neal Project consists of five private patented mining claims covering approximately 22.4 hectares (55.38 acres) and another seven unpatented lode claims covering about 52.6 hectares (130 acres) locat...