Silver Spruce drops Earn-in Option on Mystery Au Project, Newfoundland and Labrador

Rhea-AI Summary

Silver Spruce Resources (TSXV:SSE) has announced the termination of its Option to earn 100% interest in the 14,790-hectare Mystery Au Project in Newfoundland and Labrador, effective March 24, 2025. The decision comes after multiple amendments to the original September 2021 Option and Purchase Agreement.

The Mystery Project, along with Till and Marilyn properties, is strategically located 20-25 km west of New Found Gold Corp.'s Queensway project and 15-35 km south of Sokoman Minerals' Moosehead gold project. Despite identifying geological and geochemical targets warranting further exploration, the company cited current junior market conditions as the reason for returning the property to the Vendors.

Positive

• None.

Negative

• Termination of option agreement for Mystery Au Project, reducing company's exploration portfolio
• Unable to advance exploration due to challenging junior market conditions

BEDFORD, NS / ACCESS Newswire / March 31, 2025 / Silver Spruce Resources, Inc. ("Silver Spruce" or the "Company") - (TSXV:SSE) announces dropping its Option to earn 100% interest in the 14,790-hectare Mystery Au Project.

The parties jointly agreed to terminate, effective March 24, 2025, the Option and Purchase Agreement announced September 14, 2021, and amended on February 8, 2023, October 23, 2023, and December 11, 2023.

"We believe that our grassroots exploration programs had only scratched the surface for this property and that there are geological and geochemical targets which warrant further work. However, given the current junior market conditions, the Company has decided to return the property to the Vendors," said Greg Davison, Silver Spruce VP Exploration and Director.

Project Background

The Company signed a Definitive Agreement in September 2021 to acquire 100% of three early-stage gold exploration properties, Mystery, Till and Marilyn, located near Grand Falls, Newfoundland and Labrador, Canada, 20-25 kilometres west of New Found Gold Corp.'s Queensway project and 15-35 kilometres south of Sokoman Minerals Corp.'s Moosehead gold project. Staking effectively doubled property coverage to 148 square kilometres.

About Silver Spruce Resources Inc.

Silver Spruce Resources Inc. is a Canadian junior exploration company holding 100% of the Melchett Lake Zn-Au-Ag project in northern Ontario, 25% interest in BIMCOL Minera's Diamante Au-Ag project located northwest from Minera Alamos' Nicho deposit in Sonora, Mexico, and a 50:50 joint venture agreement with Colibri on the nearby Jackie Au project. The Company also has signed an Option Agreement to acquire 100% interest in the Pino de Plata Ag project located 15 kilometres west of Coeur Mining's Palmarejo Mine in western Chihuahua, Mexico. Silver Spruce Resources Inc. continues to investigate opportunities that Management has identified or that have been presented to the Company for consideration.

Contact:

Silver Spruce Resources Inc.

Greg Davison, PGeo, Vice-President Exploration and Director
(250) 521-0444
gdavison@silverspruceresources.com

info@silverspruceresources.com
www.silverspruceresources.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Notice Regarding Forward-Looking Statements

This news release contains "forward-looking statements," Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future, including but not limited to, statements regarding the private placement.

Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with mineral exploration and difficulties associated with obtaining financing on acceptable terms. We are not in control of metals prices and these could vary to make development uneconomic. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate.

SOURCE: Silver Spruce Resources, Inc.

View the original press release on ACCESS Newswire

FAQ

Why did Silver Spruce (SSEBF) terminate the Mystery Au Project option agreement?

Silver Spruce terminated the agreement due to challenging junior market conditions, despite identifying promising geological and geochemical targets that warrant further exploration.

What was the size and location of Silver Spruce's (SSEBF) Mystery Au Project?

The Mystery Au Project covered 14,790 hectares in Newfoundland and Labrador, located 20-25 km west of Queensway project and 15-35 km south of Moosehead gold project.

When did Silver Spruce (SSEBF) originally acquire the Mystery Au Project option?

Silver Spruce acquired the option through a Definitive Agreement in September 2021, which was subsequently amended three times before termination in March 2025.

What exploration properties does Silver Spruce (SSEBF) still hold after dropping Mystery Au Project?

Silver Spruce retains 100% of Melchett Lake Zn-Au-Ag project, 25% of Diamante Au-Ag project, 50% of Jackie Au project, and an option for Pino de Plata Ag project.