Aurion Resources (TSX-V:AU) Ltd said it has agreed with Tertiary Minerals PLC (AIM:TYM) to acquire and cancel royalties on the Kaaresselka (Risti, 100% Aurion) and Kiekeromaa (B2Gold JV) gold prospects in Finland for a total consideration of C$200,000 and 83,333 Aurion common shares to be paid on closing.
"The acquisition and cancellation of the royalties on the Kaaresselka (Risti, 100% Aurion) and Kiekeromaa (B2Gold JV) gold occurrences is well aligned with Aurion's approach of maximizing the value of our properties," commented Aurion's CEO, Matti Talikka in a statement.
The royalties being acquired and canceled on Kaaresselka and Kiekeromaa consist of a pre-production royalty on definition of a NI 43-101 (or equivalent) code compliant Minerals Resource Estimate on either project, with US$1.00, US$2.00, US$3.00 payable per ounce gold in the Inferred, Indicated or Measured Mineral Resource categories respectively, plus a Net Smelter Returns Royalty (NSR) of 2% on all future gold production from either property.
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The consideration shares will be subject to a statutory four-month and one-day hold period from closing. The agreement is subject to acceptance by the TSX Venture Exchange.
Aurion is a well-funded Canadian exploration group with a current focus on its flagship Risti and Launi projects, as well as its joint venture properties with B2Gold and Kinross in Finland.
Contact the author at jon.hopkins@proactiveinvestors.com