As part of its acquisition of the Candelaria silver mine project, the Company did not grant a royalty to SSR Mining.
Silver One acquires Candelaria silver mine project. (Credit: omid roshan on Unsplash)
Silver One Resources Inc. (TSXV: SVE) (OTCQX: SLVRF) (FSE: BRK1) (“Silver One” or the “Company”) is pleased to announce that it has acquired a 100% interest in the past producing Candelaria silver mine project in Nevada from SSR Mining Inc. (“SSR Mining”).
In order to obtain its 100% interest, Silver One previously issued to SSR Mining a total US$3,100,000 of common shares (being 10,424,374 common shares) over a three year period from 2017 to 2020, and assumed an US$2,491,757 reclamation bond filed with the BLM.
Greg Crowe, President and CEO of Silver One commented: “Securing the 100% interest in Candelaria represents a major milestone in the Company’s history. Candelaria was a former producer, with Kinross Gold operating the open-pit mine up until 1997. Historically it produced over 60 million ounces of silver. Operations were shut down due to a major drop in silver prices to under US$5.00 per ounce and the property was sold to SSR Mining. Silver One entered into an agreement with SSR Mining in 2017, giving Silver One the ability to acquire a 100% interest in the project. Silver One is now poised to advance the project and continue evaluating the potential to bring the operation back into production. Silver One is currently updating the historical resource estimate to a current resource and completing metallurgical studies with the aim of completing an economic study. The property also hosts significant exploration potential for silver, gold and copper.”
As part of its acquisition of the Candelaria silver mine project, the Company did not grant a royalty to SSR Mining.
Prior to the Company’s acquisition of Candelaria silver mine project, the Company and SSR Mining agreed to extend the option end date and, in consideration of which, the Company agreed to issue 250,000 common shares to SSR Mining. The issuance of the shares is subject to TSX Venture Exchange acceptance and will be subject to restrictions on resale for a period of four months from the date of issue.
Source: Company Press Release