Skeena To Sell Porter Idaho Silver Property
VANCOUVER, BC / ACCESSWIRE / May 2, 2018 / Skeena Resources Limited (TSX-V: SKE, OTCQX: SKREF) ("Skeena" or the "Company") has entered into a non-binding letter of intent with StrikePoint Gold Inc. (SKP) to sell the Porter Idaho Silver Property ("Porter Idaho" or the "Property") near Stewart, British Columbia (the "Transaction") for a combination of cash and common shares.
Skeena's CEO, Walter Coles Jr. commented, ''Skeena is focusing on the Snip and Eskay Creek projects. Therefore, we're pleased to vend Porter Idaho to StrikePoint, a company which wants to advance the project. The potential for connecting high-grade silver mineralization between the two sides of Mount Rainey deserves to be drill tested. We will look forward to results from StrikePoint's anticipated summer drill program.''
The proposed terms of the Transaction are as follows:
- C$1,750,000 to Skeena payable in cash;
- C$1,750,000 to Skeena payable in StrikePoint common shares at a value of C$0.225, based upon the 20-day VWAP of StrikePoint's common shares;
- Skeena retains a 1% NSR on the Property, of which 0.5% may be bought back by StrikePoint for a price of C$750,000.
The completion of the Transaction is subject to:
- StrikePoint completing an equity financing generating gross proceeds of not less than C$2.5 million;
- receipt of all applicable regulatory approvals, including the TSX Venture Exchange;
- the execution of a binding definitive agreement in respect of the Transaction; and
- customary legal due diligence review of the Property by StrikePoint, including the receipt by StrikePoint of a title opinion in respect of the Property.
About Skeena
Skeena Resources Ltd. is a junior Canadian mining exploration company focused on developing prospective precious and base metal properties in the Golden Triangle of northwest British Columbia, Canada. The Company's primary activities are the exploration and development of the past-producing Snip mine and the recently optioned Eskay Creek mine, both acquired from Barrick. In addition, the Company has completed a Preliminary Economic Assessment on the GJ copper-gold porphyry project.
On behalf of the Board of Directors of Skeena Resources Ltd.,
Image: https://www.accesswire.com/uploads/signature%20Skeena.jpg
Walt Coles Jr.
President & CEO
Cautionary note regarding forward-looking statements
Certain statements made and information contained herein may constitute "forward looking information" and "forward looking statements" within the meaning of applicable Canadian and United States securities legislation. These statements and information are based on facts currently available to the Company and there is no assurance that actual results will meet management's expectations. Forward-looking statements and information may be identified by such terms as "anticipates," "believes," "targets," "estimates," "plans," "expects," "may," "will," "could" or "would". Forward-looking statements and information contained herein are based on certain factors and assumptions regarding, among other things, the estimation of mineral resources and reserves, the realization of resource and reserve estimates, metal prices, taxation, the estimation, timing and amount of future exploration and development, capital and operating costs, the availability of financing, the receipt of regulatory approvals, environmental risks, title disputes and other matters. While the Company considers its assumptions to be reasonable as of the date hereof, forward-looking statements and information are not guarantees of future performance and readers should not place undue importance on such statements as actual events and results may differ materially from those described herein. The Company does not undertake to update any forward-looking statements or information except as may be required by applicable securities laws.
Neither TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Skeena Resources Ltd.