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Lincoln Mining Grants Demerara Gold Corp. and Bell Mountain Exploration Corp. an Option to Enter Into a Joint Venture for the Development of the Oro Cruz Gold Project
VANCOUVER, BC / ACCESSWIRE / March 4, 2109 / Paul Saxton, President of Lincoln Mining Corpora...
About this update from Lincoln Gold Mining Inc
[{"type":"text","content":"Lincoln Mining Grants Demerara Gold Corp. and Bell Mountain Exploration Corp. an Option to Enter Into a Joint Venture for the Development of the Oro Cruz Gold ProjectVANCOUVER, BC / ACCESSWIRE / March 4, 2109 / Paul Saxton, President of Lincoln Mining Corporation, TSX-V: LMG (\"Lincoln\" or the \"Company\") is pleased to announce that pursuant to an Oro Cruz Letter Agreement (the \"Letter Agreement\") dated February 28, 2019, the Company, through its subsidiary, Lincoln Gold US Corp. (\"Lincoln US\"), granted to Demerara Gold Corp. (\"Demerara\"), a non-reporting British Columbia company, and Bell Mountain Exploration Corp. (\"Bell Mountain\"), a wholly-owned subsidiary of Eros Resources Corp., the right to enter into a formal Option and Joint Venture Agreement (the \"JV Agreement\") until June 30, 2019, for the exploration and development of the Oro Cruz property located in Imperial County, southeastern California. To earn a 75% interest in the Oro Cruz gold project, Demerara and Bell Mountain will have to spend approximately USD $2.1 million in property payments, exploration and development over the next five years.As consideration for granting the due diligence period, Demerara and Bell Mountain will pay Lincoln USD $10,000 and commit to purchasing CAD $35,000 worth of securities in the Company's next private placement. If exercised, the JV Agreement will allow Demerara and Bell Mountain together to earn up to an undivided 75% interest in the Oro Cruz gold project by funding payments to ADGIS, Inc. (\"ADGIS\") and incurring the costs of ongoing exploration and development at the Oro Cruz property.BackgroundBy Letter Agreement dated May 1, 2018, Lincoln and Lincoln US acquired an option to purchase from ADGIS, Inc. of Reno, Nevada, a 100% interest in the 20 Hercules lode claims (\"Hercules Property\") located in Imperial County, California, subject to a 2% Net Smelter Return royalty and a 1% Net Smelter Return royalty within a 1 mile area of interest; both royalties are payable to ADGIS. Lincoln US is the recorded holder of other mining tenures and claims located in Imperial County, California and that, together with the Hercules Property, comprise the Oro Cruz properties gold project (the \"Oro Cruz Properties\").Demerara entered into a memorandum of understanding with Lincoln in September, 2018 giving it an exclusive period ...