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Sphinx, Osisko Announce Joint Venture to Explore For Zinc
May. 08, 2018 11:38AM PST
Base Metals Investing Sphinx Resources has announced the execution of a letter of agreement on May 2, 2018 to form a 50-50 joint venture with Osisko Metals with the objective to explore for zinc in highly prospective areas of the Grenville geological province in southern Quebec.
Sphinx Resources (TSXV:SFX) has announced the execution of a letter of agreement on May 2, 2018 to form a 50-50 joint venture with Osisko Metals (TSXV:OM) with the objective to explore for zinc in highly prospective areas of the Grenville geological province in southern Quebec.
As quoted in the press release:
Under the terms of this joint venture agreement Sphinx and Osisko agree to:
each spend a minimum of CA$1,100,000 by each party over the next five years including CA$100,000 during the first year;
create a joint management committee to design and oversee the exploration program;
have Sphinx act as operator of the Grenville zinc project;
a provision whereby if a party’s interest dilutes to 10 percent or less, its interest shall be converted to a 2 percent net smelter return royalty. If at any time, the royalty holder receives a bona fide offer to purchase all or a portion of the royalty and the royalty holder is prepared to accept such offer, the non-diluted party shall have the right of first refusal to purchase the royalty (or, if the offer is for less than all of the royalty, the portion of the royalty to which the offer relates), at the same price and on the same terms and conditions.
Click here to view the full Sphinx Resources (TSXV:SFX) press release.
