Gold79 Mines Ltd. (TSXV: AUU) ("Gold79" or the "Company") announces that Minaurum Gold Inc. and its wholly owned subsidiary, Minera Minaurum Gold SA de CV ("MGG") have entered into an option agreement with Fortuna Silver Mines Inc. and Fortuna's wholly owned subsidiary, Compania Minera Cuzcatlan SA de CV ("CMC"), pursuant to which CMC can earn up to an 80 percent interest in the Taviche silver project located in Oaxaca, Mexico.
Details with respect to this option agreement were announced by MGG on January 7, 2021. CMC will act as operator of the project and can earn an initial 60% interest in the project by making cash payments to MGG of US$450,000 and incurring US$4 million in work expenditures over a three year period.
Gold79 retains a 20% free-carried interest in the Taviche project under the terms of the Company's agreements with MGG. MGG holds an exclusive option to acquire this 20% interest for a purchase price of CDN$1,000,000. Additionally, Gold79 is entitled to receive 100,000 common shares of MGG upon receipt of all relevant approvals and consents required for the commencement of exploration drilling at the Taviche project.
Gary Thompson, President, CEO and Chairman of Gold79, stated,"We are pleased that the Taviche silver project has been placed in strong hands with Fortuna as operator. Significant exploration programs are contemplated; and, if successful, we could see our 20% interest purchased with funding from Fortuna. Gold79 continues to focus on its gold projects in the Southwestern USA."
About Gold79 Mines Ltd.
Gold79 Mines Ltd. (formerly Aura Resources Inc.) is a TSX Venture listed company engaged in the acquisition, exploration and development of precious metal prospects in the Southwest USA. Gold79 holds 100% earn-in option and / or purchase agreements on three gold projects: the Jefferson Canyon Gold Project and the Tip Top Gold Project both located in Nevada, USA; and, the Gold Chain Project located in northern Arizona, USA. Gold79 also holds two projects with minority interest being a 37.1% interest in the Greyhound Project, Nunavut, Canada under JV and operated by Agnico Eagle Mines Limited and a 20% carried interest in the Taviche Project in Oaxaca, Mexico held by Minaurum Gold Inc. and under option to Fortuna Silver Mines Inc.
For further information regarding this press release contact: Gary Thompson, Chief Executive Officer and Executive Chairman by email at GT@gold79mines.com. Gold79's website is located at www.gold79mines.com.
This press release may contain forward looking statements that are made as of the date hereof and are based on current expectations, forecasts and assumptions which involve risks and uncertainties associated with our business including any private placement financings, the uncertainty as to whether further exploration will result in the target(s) being delineated as a mineral resource, capital expenditures, operating costs, mineral resources, recovery rates, grades and prices, estimated goals, expansion and growth of the business and operations, plans and references to the Company's future successes with its business and the economic environment in which the business operates. All such statements are made pursuant to the 'safe harbour' provisions of, and are intended to be forward-looking statements under, applicable Canadian securities legislation. Any statements contained herein that are statements of historical facts may be deemed to be forward-looking statements. By their nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties. We caution readers of this news release not to place undue reliance on our forward-looking statements as a number of factors could cause actual results or conditions to differ materially from current expectations. Please refer to the risks set forth in the Company's most recent annual MD&A and the Company's continuous disclosure documents that can be found on SEDAR at www.sedar.com. Gold79 does not intend, and disclaims any obligation, except as required by law, to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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