Lion Copper and Gold Corp (TSX-V:LEO, OTCQB:LCGMF). said it has reached a final agreement with Rio Tinto America Inc. on the scope of the stage one work program at Lion CG’s Mason Valley assets in Nevada.
This means Rio Tinto will provide $3.5 million in funding to Lion CG for Mason Valley project development, exploration efforts and other agreed-upon corporate purposes.
The news follows the announcement in March this year that the two companies had struck an agreement giving Rio Tinto the option to earn up to a 75% interest in the Mason Valley assets, including the historic Yerington mine and the MacArthur, Wassuk and Bear properties and associated water rights.
"We appreciate having quickly attained Stage 1 agreement with Rio Tinto's NutonTM team and look forward to further advancing the MacArthur and Yerington projects,” Travis Naugle, Lion CG's CEO said in a statement.
READ: Lion Copper and Gold receives TSX Venture Exchange approval for Rio Tinto option agreement
“Our first emphasis on environmental permitting reflects our shared values in ESG and local stakeholder engagement. We value Rio Tinto's support of our goal to advance the MacArthur Project, Yerington and our other Mason Valley assets with the potential use of NutonTM technology toward the domestic production of copper with low carbon impact."
Lion CG said a bulk metallurgical sample has been delivered to Rio Tinto's NutonTM labs, where comprehensive metallurgical testing and optimization studies are being undertaken on oxide, transitional and sulphide material sourced from both the MacArthur and Yerington deposits.
Additionally, the company announced that on May 12, 2022, it initiated the project environmental permitting process with the US Bureau of Land Management, a first step in formalizing the company's permitting efforts.
Lion CG is a Canadian-based company advancing its flagship MacArthur Copper Project in Mason Valley, Nevada, in addition to advancing its exploration projects including the Chaco Bear and Ashton properties in highly prospective regions in British Columbia, Canada, and the Blue Copper Prospect in Montana, USA.
Contact the author at jon.hopkins@proactiveinvestors.com