Western Sierra Resource Corporation Enters Talks to Acquire Majority Stake in a Gold Mining Operation With Enhanced Recovery Net Income Projected at $3.2 Billion

Rhea-AI Summary

Western Sierra Resource Corporation (OTC: WSRC) is negotiating to acquire 70% of Silver State Mining Group, Inc. SSMG owns 49% of the Sage Hen Mining claims in Nevada, totaling 640 acres. The claims are adjacent to the Relief Canyon Mine and show potential for gold, silver, platinum, palladium, and rhodium. WSRC plans to develop a 100 ton/day operation, with an expected annual net income of $269 million, increasing to 1,100 tons/day for $3.2 billion.

Positive

• Acquisition of 70% stake in Silver State Mining Group could enhance WSRC's asset portfolio.
• Sage Hen Mining claims show promising mineral potential including gold, silver, platinum, and palladium.
• Projected annual net income of $269 million from an initial 100 ton/day operation.

Negative

• Integration of SSMG could pose operational challenges.
• High projections may not materialize due to market or operational risks.

News Market Reaction – WSRC

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In the trading session that priced this news, WSRC declined 100.00%, reflecting a significant negative market reaction.

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STEAMBOAT SPRINGS, Colo., June 22, 2021 (GLOBE NEWSWIRE) -- WESTERN SIERRA RESOURCE CORPORATION (OTC: WSRC) is pleased to announce that it has entered into negotiations with Silver State Mining Group, Inc. (“SSMG”) to acquire 70% of its common stock. SSMG owns 49% of the Sage Hen Mining claims in Nevada totaling 640 acres. The Sage Hen claims are located adjacent to the Relief Canyon Mine in the Oreana Tend. In addition to gold and silver, the enhanced recovery system assays have indicated platinum, palladium and rhodium. WSRC and SSMG plan on building a 100 ton/day plan and then immediately increasing that to 1,100 tons/day. Projected annual net income from the 100 ton/day and 1,100 ton/day operation is $269 million and $3.2 billion respectively. We look forward to providing further details and timely updates on the company's progress.

About Western Sierra Resource Corporation:
Founded in 1907, Western Sierra Resource Corporation (a Utah corporation), has historically been a gold and silver mining company which continues to own several historical precious metal reserves in Arizona.   In 2014 the Company broadened its vision to include natural (and renewable) resources with its acquisition of water rights and associated infrastructure assets in Colorado for purposes of irrigating and cultivating industrial hemp; processing hemp for manufacture of various building products; and construction of affordable homes utilizing hemp-based materials—among other beneficial uses. Commercial, Industrial, and Agricultural land for these purposes has been recently acquired (closed as of 06.15.21) at a price of $1,400,000, with additional agricultural and residential land also now under a $250,000 non-refundable earnest money purchase contract. WSRC’s intent is to become a broad-based resource company with high value and high income generating assets including water rights and precious metals and related technologies.

Forward Looking Statements:
This release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934. Such statements include any that may predict, forecast, indicate, or imply future results, performance. or achievements, and may contain the words “estimate”, “project”, “intend”, “forecast”, “anticipate”, “plan”, “planning”, “expect”, “believe”, “likely”, “should”, “could”, “would”, “may” or similar words or expressions. Such statements are not guarantees of future performance and are subject to risks and uncertainties that could cause the company’s actual results and financial position to differ materially from those in such statements, which involve risks and uncertainties, including those relating to the Company’s ability to grow. Actual results may differ materially from those predicted and any reported should not be considered an indication of future performance. Potential risks and uncertainties include the Company’s operating history and resources, together with all usual and common economic, competitive, and equity market conditions / risks.

Contact:

Western Sierra Resource Corp
westernsierraresource.com
Twitter: @wsrcorp

FAQ

What is the significance of WSRC acquiring 70% of Silver State Mining Group?

The acquisition could significantly enhance WSRC's asset portfolio and revenue potential.

What are the expected revenues from the Sage Hen Mining claims?

Projected annual net income is $269 million from a 100 ton/day operation, potentially increasing to $3.2 billion with a 1,100 ton/day operation.

What minerals are found in the Sage Hen Mining claims?

The claims are expected to yield gold, silver, platinum, palladium, and rhodium.

When did WSRC's negotiations with SSMG begin?

Negotiations were announced on June 22, 2021.