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Chilean Metals Signs Term Sheet To Acquire 50% of Tiris Gold For $4.5 Million
Toronto, Ontario--(Newsfile Corp. - July 7, 2020) - Chilean Metals Inc. (TSXV: CMX) (SSE: CMX)...
About this update from Power Metallic Mines Inc.
[{"type":"text","content":"Chilean Metals Signs Term Sheet To Acquire 50% of Tiris Gold For $4.5 MillionWork On Tasiast South To Commence Within 3 MonthsToronto, Ontario--(Newsfile Corp. - July 7, 2020) - Chilean Metals Inc. (TSXV: CMX) (SSE: CMX) (MILA: CMX) (\"Chilean Metals,\" \"CMX\" or the \"Company\") is pleased to advise that it has signed a C$4.5 million funding term sheet for the creation of a joint venture vehicle with ASX and AIM-listed Aura Energy Limited for its gold, base and battery metal tenements in Mauritania.The Aura's Tasiast South tenements over 435 km2 are in a highly prospective area lying on two lightly explored mineralised greenstone belts in Mauritania. The areas lie along strike from Kinross' giant +20 Moz1 Tasiast Gold Mine, where Kinross has recently announced that it will expand gold production to 530,000 ounces per year.Aura maintains that these tenements, also with strong base and battery metal results, represent some of the best under-explored greenstone belt targets in the world.The transaction, which remains subject to due diligence, will see Aura progressively vend its Mauritanian gold and base metal licences into a joint venture vehicle (PubCo) with Chilean contributing four scheduled payments totalling C$4.5 million before October 2021. The third and fourth Chilean payments will be at their election.At that time Aura will own 50% of the vehicle and Chilean will own 50%. Aura will also receive 1,000,000 shares in Chilean Metals as part of the transaction, subject to Chilean's receipt of TSX Venture Exchange approval. Chilean may source the required funding from its own corporate sources or individual investors with the payment schedule by Chilean into the new vehicle as follows:C$1.5 million - Before 31st August 2020 (on definitive agreement execution)C$1.0 million - 30 January 2021 (or sooner)C$1.0 million - 1 June 2021 (at Chilean's election)C$1.0 million - 1 October 2021 (at Chilean's election)Aura Energy Executive Chairman Mr Peter Reeve said, \"Aura has maintained an exceptionally strong belief in these extremely under-explored greenstone belts given the high-quality preliminary gold and base metal exploration results achieved. This substantial funding package from a group of seasoned resource investors/developers will help reveal their true potential. With the Tasiast Gold Mine (+400,000 ozs pa) on the same belt ...