Taiga Partner SSR Mining Earns 60% Interest in Fisher Gold Project
Rhea-AI Summary
Taiga Gold Corp. (CSE:TGC) announced that its partner, SSR Mining Inc. (TSX:SSRM), has exercised the First Option earn-in under the Fisher Option Agreement, having completed over CDN$4 million in exploration expenditures. As part of this agreement, SSR Mining has also reimbursed CDN$400,000 and made an additional cash payment of CDN$400,000 to Taiga. Taiga retains a 2.5% net smelter return and will receive CDN$100,000 in advance royalties annually upon forming a joint venture. The Second Option Period allows SSR Mining to increase its interest to 80% by making a one-time payment of CDN$3 million by November 3, 2021.
Positive
- SSR Mining has fulfilled its commitments under the Fisher Option Agreement, enhancing Taiga's financial position.
- Taiga retains a 2.5% net smelter return (NSR), providing ongoing revenue potential.
- Future joint venture may lead to further exploration and development funding.
Negative
- None.
AI-generated analysis. How Rhea-AI works. Not financial advice.
CRANBROOK, BC / ACCESSWIRE / November 12, 2020 / Taiga Gold Corp. (CSE:TGC) ("TGC" or "Taiga") has received notice from partner SSR Mining Inc. ("SSR Mining") (TSX:SSRM) (NASDAQ:SSRM) that it has satisfied its commitments and has exercised the First Option earn-in relating to the Fisher Option Agreement (the "Agreement"). In accordance with the Agreement, SSR Mining has completed over CDN
The Agreement is now within the Second Option Period whereby SSR Mining may elect to increase its interest in the Fisher Property to
The 34,000 ha Fisher Property is located within the Trans Hudson Corridor approximately 125km northeast of La Ronge, Saskatchewan and is contiguous to the north, south and east with SSR Mining's Seabee Gold Operation. Since optioning the Property in 2016, SSR Mining has completed extensive systematic exploration including prospecting, soil geochemical sampling, detailed geological mapping, geophysical surveys and completed a total of 33,251m (109,091') of drilling in 86 holes for total expenditures exceeding CDN
Drilling is currently underway in the Mac North area of Fisher, with approximately 2000m of a planned 3800m program completed in a total of 5 holes. Drilling activity is expected to continue until late November or early December.
See Fisher area location map here
2020 Exploration Highlights:
- 3800m drilling planned for Mac North discovery area, drilling underway
- New discoveries made during 2020Q1 at the Yin, Abel Lake and Mac North Zones, returning 13.74 g/t Au over 2.29m*, 12.13 g/t Au over 1.5m* and 9.1 g/t Au reported over 1.92m* respectively (previously reported)
- Partial results remain outstanding for over half of the holes from the 2020 Q1 winter drill program, to be processed during this 2020 Q4 program
- All exploration activity to be funded by SSR Mining
*drilled widths are estimated at 70
The current 3,800m program directed and funded by SSR Mining is a resumption of exploration at Fisher which was suspended in March 2020 due to the Covid-19 outbreak. Mineralization at Mac North was discovered in early 2019 when drill hole FIS-19-035 intersected 3.76 g/t Au over 4.18m, including 13.72 g/t Au over 0.73m. The zone remains open to depth and along strike.
Fisher Property Summary
Both Fisher and the Seabee Gold Operation are located within the Trans Hudson Corridor, specifically within the Pine Lake Greenstone Belt. Ore geology at the Seabee Gold Operation consists of high-grade gold hosted by vein mineralization associated with shear zones that transect mafic meta-volcanic and intrusive rocks, as well as granitic rocks emplaced during the regional deformation events impacting Pine Lake rocks during the Proterozoic. Mineralization at the Seabee Gold Operation occurs at the Seabee and Santoy mine complexes, which are located approximately 14km apart. The former is affiliated with the more westerly-oriented Laonil Lake shear zone, while the latter is hosted by the Santoy Shear, a regional north-trending shear zone that has been traced over much of Fisher.
Since 1991, the Seabee Gold Operation has produced over 1.57 million ounces of gold from the Seabee and Santoy deposits. In 2019, the Seabee Gold Operation produced 112,137 ounces of gold at cash costs of US
Details of the Fisher Option Agreement
To earn a
Charles C. Downie, P.Geo., a "qualified person" for the purposes of National Instrument 43-101 - Standards of Disclosure for Mineral Projects, and a Director of Taiga Gold Corp., has reviewed and approved the scientific and technical disclosure in the news release.
About Taiga Gold Corp
Taiga Gold Corp was created through a plan of arrangement with Eagle Plains Resources Ltd. and owns 6 projects targeting gold located within the Trans Hudson Corridor in the area near the Seabee Gold Operation, owned and operated by SSR Mining. Taiga's flagship "Fisher" property is currently being explored by SSR Mining under option from Taiga. Taiga's
Taiga's objective is to focus on the exploration and development of its gold projects located adjacent to the Seabee Gold Operation and along the Tabbernor Fault structure in eastern Saskatchewan, a highly-prospective mining jurisdiction which was recently recognized by the Fraser Institute as the second best place in the world in terms of Investment Attractiveness. Throughout the exploration and development process, our mission is to help maintain prosperous communities by exploring for and discovering resource opportunities while building lasting relationships through honest and respectful business practices.
On behalf of the Board of Directors
"Tim J. Termuende"
President and CEO
For further information on TGC, please contact Mike Labach at
1 866 HUNT ORE (486 8673)
Email: info@taigagold.com or visit our website at http://taigagold.com
Cautionary Note Regarding Forward-Looking Statements
Neither the CSE nor any other regulatory body has reviewed or approved the contents of this news release. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming financings, work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.
SOURCE: Taiga Gold Corp.
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https://www.accesswire.com/616134/Taiga-Partner-SSR-Mining-Earns-60-Interest-in-Fisher-Gold-Project