LOI for Option to Acquire Property in Arizona
NV Gold Corporation announces that it has entered into a Binding Letter of Intent (LOI) with Magellan Gold Corporation under which NV Gold has an option to acquire all of Magellan's interest in its Silver District Project located in La Paz County, Arizona, USA.
“With continued optimism in the gold and silver market, NV Gold has reviewed the Silver District Project in Arizona, and believes the property provides a unique resource development opportunity for the Company and its shareholders.
The Silver District project can be explored and developed year-round, it lies in close proximity to our other projects in Nevada, it hosts an unconfirmed historical resource totaling in excess of 15 million ounces of silver developed nearly 30 years ago and it is potentially open along strike and at depth in multiple vein systems, with very limited drilling below 40 meters,” commented Peter A. Ball, President.
“After securing positive terms for NV Gold to acquire the Silver District Project, including minimal cash and dilution components, we look forward to an in-depth review of the project during the four-month exclusive due diligence period. Our goal is to push forward to finalize a Definitive Agreement with Magellan, and quickly engage a third-party, independent technical consultant, to provide geological modelling and data verification.”
“As we continue to evaluate, explore and develop our core project portfolio and data library in Nevada, we see the Silver District as a promising strategic project and it expands our regional geographic horizon into Arizona. Southwestern Arizona is accessible 12 months of the year, ensuring year-round accessibility and continued news flow,” stated John E. Watson, Chairman.
“We continue to carefully manage and allocate capital with an emphasis on minimizing dilution. We will look to advance the Slumber and other projects this spring, as we currently focus on our initial review of the Silver District Project. Our technical team has completed an internal geological modelling exercise of the Slumber Gold Project and defined this asset as priority drill project, and we look forward to testing it with additional geophysics to develop a more comprehensive model.”
