Reyna Silver Amends Terms of Medicine Springs Option Agreement
Rhea-AI Summary
Reyna Silver Corp. (TSXV:RSLV)(OTCQX:RSNVF)(FRA:4ZC) has amended the terms of its option agreement for the Medicine Springs project in Nevada, USA. The amendment, dated September 30, 2024, modifies the payment schedule with the Optionors, Stephen Sutherland and Herb Duerr. Key changes include:
1. A USD$15,000 cash payment on October 1, 2024
2. Deferral of a USD$150,000 cash payment from October 1, 2024, to February 1, 2025
3. Addition of USD$10,000 in Reyna Silver common shares, payable by February 1, 2025
The revised schedule now requires mandatory payments of USD$150,000 in cash and USD$310,000 in common shares by February 1, 2025. Optional payments include USD$225,000 in cash by February 1, 2025, and USD$150,000 in cash by October 1, 2025. These amendments are subject to TSXV acceptance.
Positive
- Successful negotiation of more favorable payment terms for the Medicine Springs project option
- Deferral of a significant cash payment (USD$150,000) by four months
- Addition of a share-based payment component, potentially preserving cash
Negative
- Increase in total payment amount due to the addition of USD$10,000 in common shares
- Potential dilution for existing shareholders due to the issuance of new common shares
News Market Reaction
On the day this news was published, RSNVF gained 7.96%, reflecting a notable positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
VANCOUVER, BC and HONG KONG / ACCESSWIRE / October 8, 2024 / Reyna Silver Corp. (TSXV:RSLV)(OTCQX:RSNVF)(FRA:4ZC) ("Reyna Silver") is pleased to announce that it has reached an agreement to further amend the terms of its option agreement dated August 20, 2017 (as previously amended, the "Option Agreement") with Stephen Sutherland and Herb Duerr (collectively, the "Optionors"), pursuant to which Reyna Silver has the option to acquire a
"We greatly appreciate the faith in the Medicine Springs Project demonstrated by Herb Duerr and Stephen Sutherland," said Jorge Ramiro Monroy, CEO of Reyna Silver Silver. "As seasoned Nevada geologists, they clearly appreciate what our district-scale exploration approach can bring to unlock a project's potential."
For a cash payment of USD
Mandatory Payments:
On or before February 1, 2025: USD
$150,000 in cash; andOn or before February 1, 2025: USD
$310,000 in common shares of Reyna Silver (based on the 30-day VWAP of Reyna Silver´s common shares on the TSV Venture Exchange prior to the date of issuance subject to a floor price of CAD$0.12 375 per common share).
Option Payments:
On or before February 1, 2025: USD
$225,000 in cash; andOn or before October 1, 2025: USD
$150,000 in cash.
The Amending Agreement and the issuance of Reyna Silver common shares under the Option Agreement remain subject to the acceptance of the TSXV.
For Further Information, Please Contact:
Reyna Silver Corp.
Jorge Ramiro Monroy
Chief Executive Officer
T: +1 (778) 504-1344
E: info@reynasilver.com
About Reyna Silver Corp.
Reyna Silver is a growth-oriented junior exploration and development company. Reyna Silver focuses on exploring for high-grade, district-scale silver deposits in Mexico and the United States. In Nevada USA, Reyna Silver has entered into an option to acquire
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 Option Agreement and the Amending Agreement; the ability of the Reyna Silver to fully earn-in to the option, the ability of Reyna Silver to receive TSXV approval of the Amending Agreement, the business and operations of the Reyna Silver and the exploration of the Property. 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. Reyna Silver 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.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Reyna Silver Corp.
View the original press release on accesswire.com
FAQ
What are the new payment terms for Reyna Silver's (RSNVF) Medicine Springs project option?
When does Reyna Silver (RSNVF) need to make the mandatory payments for the Medicine Springs project?
What are the optional payments in Reyna Silver's (RSNVF) amended Medicine Springs agreement?
Who are the Optionors in Reyna Silver's (RSNVF) Medicine Springs project agreement?
