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Terraco Gold Corp. (TSXV:TEN), thru its wholly-owned Nevada subsidiary, TGC Holdings Ltd., acquired a portion of a pre-existing net smelter returns royalty and will have the option to acquire an additional NSR interest on private fee land covering part of the Spring Valley Gold Project in Pershing County, Nevada.
Terraco Gold Corp. (TSXV:TEN), thru its wholly-owned Nevada subsidiary, TGC Holdings Ltd., acquired a portion of a pre-existing net smelter returns royalty and will have the option to acquire an additional NSR interest on private fee land covering part of the Spring Valley Gold Project in Pershing County, Nevada. The Spring Valley Project is a joint venture between Barrick Gold Corp. and Midway Gold Corp.
As quoted in the press release:
Transaction Terms:
Under the terms of the Transaction between Terraco, the current royalty owner (the “Royalty Vendor”) and a third party investor (the “Strategic Investor”):
- Terraco will acquire from the Royalty Vendor a 0.5% NSR on the Fee Land in consideration for 2,500,000 common shares of the Company;
- The Strategic Investor will acquire from the Royalty Vendor a 1.5% NSR on the Fee Land (the “Purchased NSR Interest”) for US$2,368,421.00; and
- Terraco will be granted an option to acquire, for US$983,211.00, 0.5% of the Purchased NSR Interest from the Strategic Investor for a period of 5 years from closing of the Transaction or within 1 year of a change of control of Terraco.
Click here to read the Terraco Gold Corp. (TSXV:TEN) press release
Click here to see the Terraco Gold Corp. (TSXV:TEN) profile.