Deeprock Minerals (DEEP.C) has announced it has entered into an agreement to acquire full ownership of a new exploration property just a few kilometers to the northeast of its existing Zapozilor exploration licenses. The addition of the new license pushes the total amount of licenses in Romania to in excess of 35 square kilometers.
The new licenses will be acquired for a cash consideration of C$275,000 while Deeprock will issue 9 million shares to the vendor as well. A 2% NSR will be issued to the vendor but Deeprock retains the option to repurchase the entire NSR at a rate of C$1M per 1% (so for C$2M, the entire NSR could be cancelled). And finally, if Deeprock is able to outline a total gold resource of at least 1 million ounces at an average grade of at least 1 g/t gold, an additional 9 million bonus shares will be owed.
Romania isn’t the easiest place to do business, so let’s see how fast Deeprock can advance its plans and projects in Romania.
Disclosure: The author has no position in Deeprock Minerals. Please read our disclaimer.
