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Riverside Resources Signs New Partnership Agreement to Advance La Silla and Provides Glor Project Update
VANCOUVER, British Columbia, July 11, 2018 (GLOBE NEWSWIRE) -- Riverside Resources Inc. ("Riverside" or the "Company") (TSX-V:RRI), and Sinaloa Resources Inc. (
About this update from Riverside Resources Inc
[{"type":"text","content":" VANCOUVER, British Columbia, July 11, 2018 (GLOBE NEWSWIRE) -- Riverside Resources Inc. (\"Riverside\" or the \"Company\") (TSX-V:RRI), and Sinaloa Resources Inc. (“Sinaloa”) is pleased to jointly announce that they have signed a letter of intent (the “LOI”) whereby Sinaloa can earn up to 100% interest in Riverside’s La Silla Project (the “Project”) located in Sinaloa, Mexico. The Project includes 2,071 hectares situated along the same regional trend and with the mineralization style as First Majestic’s San Dimas mine. Historic production along this trend has been estimated to total 11 million ounces of gold and 582 million oz. of silver, placing the district fourth in Mexico for precious metal production after Pachuca, Fresnillo and Guanajuato1. Riverside’s President and CEO, John-Mark Staude, stated: “We are pleased to have this new option partnership with Sinaloa Resources who will progress the exploration and move toward drilling several of the targets our 2018 generative exploration program has developed. We applied our property and technical databases to select, acquire, and work up the La Silla Project to now a joint venture option level with firm work commitments and payments in shares and cash back to Riverside. We are excited to help operationally by working with Sinaloa Resources on rapidly progressing the testing of targets and expanding on the recently sampled extensions of high-grade gold and silver veins. We look forward to being a shareholder and creating significant shareholder value together by applying our combined technical and operational expertise.” Under the terms of the LOI, Sinaloa has the option to earn up to 100% interest in the La Silla Project. The initial option to earn 70% is predicated upon the issuance of Sinaloa shares at a value of $1,000,000, $60,000 in cash payments and exploration work commitments of $3,000,000 over 36 months. To earn an additional 30%, Sinaloa must incur a further $1,000,000 in exploration and issue Riverside additional Sinaloa shares at a value of $500,000. Riverside will retain a 2.5% NSR on the Project should Sinaloa complete 100% earn-in or Riverside’s interest dilutes to less than 10%. Sinaloa Resources CEO, Jonathan Denesovych, stated: “When we looked at opportunities in the region, La Silla stood out for its prime location and encouraging exploration findings....