(via TheNewswire)
Agreement, dated
Highlights
Reyna Silver will acquire NLR’s 25% interest in the
US$100,000 Cash Payment
6,000,000 shares of Reyna Silver Corp (as at
Dec 14, 2022 - share price$0.35 , total market value$2.1 million )
1% NSR Royalty over
Medicine Project
NLR is to receive all consideration within 3 days of TSX.V and other required approvals for the Transaction being received.
Northern Lights CEO,
In 2017, Northern Lights entered into the Medicine Springs Option Agreement to acquire 100% of the
From 2017 to 2019, Northern Lights completed geophysical and soil sampling programs resulting in the identification of a strong NE-trending Pb-Zn-Ag soil anomaly with >2000 meters in length with widths ranging 350-500 meters.
In
Reyna Silver completed a further sampling program at the
In
Medicine Springs shows most of the key features of large-scale CRDs, especially the three most important factors: location, structure, and grade.The geological setting at Medicine Springs is analogous to Taylor-Hermosa Zn-Pb-Ag deposit in
Figure 1 – Medicine Springs Project Location
Figure 2 – Medicine Springs Current Drill Program Showing Drill Target Areas
The Transaction
Under the terms of the Transaction, Northern Lights will assign all of its rights and obligations under the Medicine Springs Option Agreement to Reyna Silver. Upon completion of the Transaction, Reyna Silver will have the option to acquire 100% of the
In consideration for NLR’s 25% interest in the Medicine Springs Option Agreement Reyna Silver will make the following consideration payments to NLR:
Cash Consideration Payment of
US$100,000 ; andEquity Consideration Payment 6,000,000 common shares of Reyna Silver Corp. The Equity ConsiderationThe Consideration Shares will be subject to contractual resale restrictions over a twenty-four (24) month period
1% NSR Royalty over the
Medicine Springs Project licenses. The royalty to NLR will not become effective until Reyna Silver has completed the Medicine Springs Option Agreement obligations and owns 100% of the project.
The Transaction is subject to TSX.V, and other regulatory approvals as required. No shareholder approvals are required. Closing is scheduled for 3 days after TSX.V approval and other closing conditions have been met.
NLR has agreed Finders fees totaling
About Reyna Silver Corp.
Reyna Silver Corp. (TSXV: RSLV) is a growth-oriented junior exploration and development company focused on exploring for high-grade, district-scale silver deposits in
Reyna Silver Corp has a market capitalization of approximately
In addition to the Medicine Springs Projects, Reyna’s principal properties are the
Guigui covers the interpreted source area for the
Competent Persons Statement
Information in this report relating to Exploration Results is based on information reviewed by Mr.
For further information, please contact:
Email:rtimcke@northernlightsresources.com
Tel: +1 604 608 6163
Email:Jason@northernlightsresources.com
Tel: +1 604 608 6163
About
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release includes certain “forward-looking statements” under applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements with respect to: the terms and conditions of the proposed private placement; use of funds; the business and operations of the Company after the proposed closing of the Offering. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; delay or failure to receive board, shareholder or regulatory approvals; and the uncertainties surrounding the mineral exploration industry. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
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