Business
Riverside Resources Receives US$2,500,000 in Cash and Retains 2% NSR Royalty for the Sale of the Tajitos Gold Project to Fresnillo PLC
Vancouver, British Columbia--(Newsfile Corp. - November 30, 2022) - Riverside Resources Inc. (TS...
About this update from Riverside Resources Inc
[{"type":"text","content":"Riverside Resources Receives US$2,500,000 in Cash and Retains 2% NSR Royalty for the Sale of the Tajitos Gold Project to Fresnillo PLCVancouver, British Columbia--(Newsfile Corp. - November 30, 2022) - Riverside Resources Inc. (TSXV: RRI) (OTCQB: RVSDF) (FSE: 5YY) (\"Riverside\" or the \"Company\"), is pleased to report it has signed a definitive sale and royalty agreement with Minera Fresnillo, S.A. de C.V. (\"Fresnillo\") a wholly owned subsidiary of Fresnillo PLC for the sale of Riverside's Tajitos Gold Project (\"Tajitos\") located in Sonora, Mexico. Riverside will receive a US$2,500,000 cash payment and retain a 2.0% NSR (\"Royalty\"). The Tajitos Gold Project is located less than 30 kilometers from Fresnillo's Noche Buena mining operations. Riverside's Tajitos Gold Project includes the Tejo and Tajitos mineral concessions covering 45 km² of prospective ground next to Fresnillo's property (also named Tajitos).Riverside's President and CEO, John-Mark Staude, stated: \"This transaction adds another quality NSR to our growing royalty portfolio and brings our cash position to more than C$8,000,000, which puts us in a great position to grow our business during 2023-2024. We are pleased to deliver another deal with a high caliber international mining company, which is a testament to the quality of projects our team has generated and Riverside maintains in our property portfolio.\"Transaction Details:Riverside will receive a payment of US$2,500,000 from Fresnillo and retain a 2.0% NSR. Fresnillo will have, for a four-year term, the option to buy back half of the 2.0% NSR for a payment of US$1.5M. If enacted, then Fresnillo would have an additional three years to buy back the remining 1% NSR for another US$1.5M. If Fresnillo does not exercise its first buy back option during the first four-year term, the Royalty will no longer be subject to any buy back provisions. The NSR covers the entire Riverside land package and a full NSR Agreement has been agreed upon and included in the signed contract between the companies. If Fresnillo wishes to reduce mineral claims, then the Company has the first right to retain those mineral tenures before they are dropped. Riverside remains focused on its 100% owned projects, within its portfolio in Canada and Mexico, and its alliance with BHP. The Company is also always working towards potential...