GSP Resource Corp (GSPR.V) has entered into an acquisition agreement with a private vendor to acquire full ownership of the Mer Claims in British Columbia’s Highland Valley Copper camp. The claims are located approximately 1.5 kilometers northwest of the Alwin mine project and are surrounded by the Highland Valley copper mine and surrounding project area owned by Teck Resources (TECK, TECK.TO).
GSP Resource can acquire full ownership by making a C$10,000 cash payment and issue the vendor 100,000 shares of GSP Resources within ten days after receiving the acceptance notification from the exchange. The seller will also retain a 1% Net Smelter Royalty but GSP Resource Corp can buy back that royalty for C$0.5M in cash.
GSP Resource was interested in these claims as historical drill intervals from holes that were completed in the Sixties and Seventies encountered interesting copper grades. Previous operators completed 610 meters in 16 percussion drill holes and one diamond hole for a total of 150 meters. Some of the percussion holes encountered pretty interesting mineralization with grades ranging around half a percent copper, with the mineralization starting close to surface. The single diamond hole was centered on the percussion drill holes and encountered 24 meters containing 0.29% copper.
Disclosure: The author has a small long position in GSP Resources. Please read the disclaimer.
