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Iconic Minerals Announces Lithium Property Option Agreement in Nye County, Nevada and Negotiation of Equity Financing up to $500,000
Vancouver, BC / TheNewswire / December 9, 2015 - Iconic Minerals Ltd. (TSX-V: ICM / FSE: YQG) announces that, subject to acceptance for filing by the TSX Ventur
About this update from Iconic Minerals Ltd
[{"type":"text","content":" Vancouver, BC / TheNewswire / December 9, 2015 - Iconic Minerals Ltd. (TSX-V: ICM / FSE: YQG) announces that, subject to acceptance for filing by the TSX Venture Exchange (TSX-V), it has entered into a Property Option Agreement with a non-arms' length vendor (the \"Vendor\") to acquire a 100% interest in 303 placer mining claims comprising 6,060 acres of a lithium property located in Nye County, Nevada (the \"Property\"). The Vendor is a company owned by Richard Kern, President and CEO of Iconic. Pursuant to the Agreement, Iconic may earn its 100% interest in the Property by: (a) reimbursing the Vendor for all documented expenses, these expenses not to exceed US$20,000 for the Property; (b) expending initial and annual claim filing fees and expenses estimated to be US$76,500; and (c) expending US$100,000 for the first year exploration development program (together, the \"Expenditures\"), and by thereafter completing additional work requirements for the second (US$200,000), third (US$400,000) and fourth (US$600,000) year totaling US$1,200,000 (the \"Phase II Work Commitment\"). Upon payment of the Expenditures, and payment of additional expenditures required for the Phase II Work Commitment, the option will be deemed exercised by the Company, and the Vendor will then transfer ownership in the Property to the Company, except for (a) a 4.5% Net Smelter Return payable to the Vendor and or it's designated assignees with respect to the Property, 1.5% of which the Company shall have the right to buy back from the Vendor within 90 Days of the Property going into production for USD$2,000,000, and an additional 1.5% of which the Company shall have the right to buy back from the Vendor within 180 days of the Property going into production for USD$4,000,000; and (b) a cash payment of USD$1,000,000 to be made by the Company to the Vendor upon the Property attaining commercial production. The following is a brief summary on the Property: The Property is a lithium brine target. It is located within a valley that is over +20 miles (+30 km) long and 12 miles (20 km) wide into which streams from an +800 mi2 (2,070 km2) drainage basin empty. The source rocks are quartz-rich volcanics that contain anomalous amounts of lithium. Sampling of salt flats within the basin have found lithium values in salt samples ranging from 50 to 340 ppm. The deeper p...