Frankfurt and Berlin Exchanges : EML Emergent Metals Completes Lease Option to Purchase Agreement with Lahontan GOLD Corp. FOR Mindora (WEST Santa Fe) Property
EMERGENT METALS CORP.
Suite 1010 – 789 West Pender Street
Vancouver, B.C. V6C 1H2
www.emergentmetals.com
July 20, 2023 TSX Venture Exchange : EMR
OTCQB : EGMCF
Frankfurt and Berlin Exchanges : EML
EMERGENT METALS
COMPLETES LEASE OPTION TO PURCHASE AGREEMENT
WITH LAHONTAN GOLD CORP.
FOR MINDORA (WEST SANTA FE) PROPERTY
Vancouver, British Columbia, July 20, 202 3 – E mergent Metals Corp. (TSXV:EMR, OTC:EGMCF,
FRA:EML, BSE:EML) (“Emergent” or the “Company”) is pleased to announce that it has completed a Lease with
Option to Purchase Agreement (“Agreement”) with Lahontan Gold Corp. (“Lahontan”). Lahontan, subject to certain
terms and conditions, will have the option (“Option”) to acquire a 100% interest in Emergent’s Mindora Property, NV
(“Mindora” or the “Property”) by completing US$1.8 million in cash or share payments and US$1.4 million in work
expenditures on the Property (total US$3.2 million) over a seven-year period (see press release dated May 15, 2023,
for additional details).
Mindora is a gold, silver, and base metal exploration property located approximately 20 miles southeast of Hawthorne,
NV and 10 miles southwest of Lahontan’s Santa Fe Property, NV. The Property consists of 147 unpatented mining
claims. Lahontan is re-naming the Property West Santa Fe.
David Watkinson, President and CEO of Emergent stated, “We believe putting Emergent’s Mindora (aka West Santa
Fe) Property together with Lahontan’s Santa Fe Property is good for both companies to take advantage of potential
synergies between the properties. Santa Fe is a past producing gold mine that is rapidly being advanced through
exploration. In January 2023, Lahontan published its maiden resource es timate at Santa Fe with over one million
indicated gold equivalent ounces (see Lahontan’s January 17, 2023, press release and the Santa Fe Project Technical
Report, Santa Fe Project, Santa Fe District, Nevada, USA, prepared for Lahontan Gold Corp., with Effective Date
December 7, 2022 and Report Date of March 7, 2023 for details, both available under Lahontan’s corporate filings at
www.sedar.com). Note that no mineral resources or reserves have yet been delineated on the Mindora Property, but
it has over 43,000 feet of historic drilling completed prior to the implementation of National Instrument 43 -101.”
Cash or share payments will be as follows:
Timing Amount ($US)
Upon Signing of the Term Sheet $10,000 (paid)
First Anniversary of Agreement* $20,000
Second Anniversary of Agreement* $25,000
Third Anniversary of Agreement* $25,000
Fourth Anniversary of Agreement* $30,000
Fifth Anniversary of Agreement* $30,000
Sixth Anniversary of Agreement* $40,000
Seventh Anniversary of Agreement* $1,620,000
Total $1,800,000
*50% of these payments may be made in common shares of Lahontan Gold Corp. at Lahontan’s discretion. Lahontan may
accelerate these payments by paying the remaining balance of the purchase price at any time during the option period.
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Work commitments will be as follows:
Timing Amount ($US)
December 31, 2024 $150,000
December 31, 2025 $150,000
December 31, 2026 $200,000
December 31, 2027 $200,000
December 31, 2028 $200,000
December 31, 2029 $250,000
Seventh Anniversary of Agreement* $250,000
Total $1,400,000
Exploration expenditures include, but are not limited to, geological, geochemical, and geophysical mapping,
reconnaissance, and surveying; drilling; environmental compliance; feasibility studies; sample collection; assaying
of samples; consulting services; direct costs of employment of LGUSC employees working directly on the Property;
equipment, materials, and supplies used on the Property; fees paid to governmental agencies for applications for
approvals, consents, licenses, and permits for LGUSC operations on the Property, costs and fees paid to maintain the
Property, including federal and county annual mining claims maintenance fees for unpatented mining claims; and
costs associated with technical geologic, and economic data (including interpretative data) pertaining to the Property
and developed, prepared or acquired by or for LGUSC. Any excess expenditures , in any year, under the Work
Commitments scheduled above can be credited against subsequent Work Commitment expenditures in a future year.
The Agreement is between Emergent’s U.S. subsidiary, Golden Arrow Mining Corporation (“GAMC”), Lahontan,
and Lahontan’s U.S. subsidiary, Lahontan Gold (US) Corp. (“LGUSC”). GAMC currently holds the Property and,
upon exercise of the Option and payment of the purchase price to GAMC, GAMC shall transfer 100% of its interest
in the mineral claims to Lahontan, or its designee, within 30 days of payment of the purchase price. As part of the
transfer, Lahontan or its d esignee will grant a 1% NSR royalty in favor of GAMC over the claims it acquired from
Nevada Sunrise LLC (Mind 1 through Mind 12). In addition, Lahontan or its designee will grant a 1.5% NSR in favor
of GAMC for any additional claims not currently having a NSR royalty. LGUSC will have the right to purchase 50%
of this 1.5% NSR royalty for US$200,000 prior to the fifth anniversary of signing of the Agreement or for US$500,000
after the fifth anniversary of the signing of the Agreement.
As part of the A greement, LGUSC will reimburse GAMC for a final US $25,000 claim purchase payment made to
Nevada Sunrise LLC and US$20,000 for an advance royalty payment made to BL Exploration in June 2023. LGUSC
will also be responsible for 2023/24 claim maintenance payments on the Property. The transaction is subject to
regulatory approval.
Qualified Person
All scientific and technical information disclosed in this new release was reviewed and approved by David Watkinson,
P.Eng., an employee of Emergent and a non-independent qualified person under National Instrument 43-101
About Emergent
Emergent is a gold and base metal exploration company focused on Nevada and Quebec. The Company’s strategy is
to look for quality acquisitions, add value to these assets through exploration, and monetize them through sale, joint
ventures, option, royalty, and other transactions to create value for our shareholders (acquisition and divestiture (A&D)
business model).
In Nevada, Emergent’s Golden Arrow Property, the core asset of the Company, is an advanced stage gold and silver
property with a well-defined measured and indicated resource. New York Canyon is a base metal property south of
the historic Santa Fe Mine. The Mindora Property is a gold, silver, and base metal property located twelve miles from
New York Canyon and under option to Lahontan Gold Corporation ( TSXV:LG). Buckskin Rawhide East is a gold
and silver property leased to Rawhide Mining LLC, operators of the adjacent Rawhide Mine.
In Quebec, the Casa South Property, is an early- stage gold property adjacent to Hecla Mining Corporation’s
(NYSE:HL) operating Ca sa Berardi Mine. The Trecesson Property is located about 50 km north of the Val d’Or
mining camp. Emergent has a 1% NSR in the Troilus North Property, part of the Troilus Mine Property being explored
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by Troilus Gold Corporation ( TSX:TLG). Emergent also has a 1% NSR in t he East-West Property, owned by O 3
Mining Corporation (TSX:OIII) and adjacent to their Marban Property.
Note that the location of Emergent ’s properties adjacent to producing or past producing mines does not guarantee
exploration success at Emergent’s properties or that mineral resources or reserves will be delineated.
For more information on the Company, investors should review the Company’s website
at www.emergentmetals.com or view the Company’s filings available at www.sedar.com.
On behalf of the Board of Directors
David G. Watkinson, P.Eng.
President & CEO
For further information, please contact:
David G. Watkinson, P.Eng.
Tel: 530-271-0679 Ext 101
Email: [email protected]
Neither TSX Venture Exchange nor its Regulation Services Provider (as the term is defined in the policies of
the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note on Forward-Looking Statements
Certain statements made and information contained herein may constitute “forward looking information” and “forward looking
statements” within the meaning of applicable Canadian and United States securities legislation. These statements and information
are based on facts currently available to the Company and there is no assurance that actual results will meet management’s
expectations. Forward-looking statements and information may be identified by such terms as “anticipates”, “believes”, “targets”,
“estimates”, “plans”, “expects”, “may”, “will”, “could” or “would”. Forward-looking statements and information contained herein
are based on certain factors and assumptions regarding, among other things, the estimation of mineral resources and reserves, the
realization of resource and reserve estimates, metal prices, taxation, the estimation, timing and amount of future exploratio n and
development, capital and operating costs, the availability of financing, the receipt of regulatory approvals, environmental risks, title
disputes and other matters. While the Company considers its assumptions to be reasonable as of the date hereof, forward-looking
statements and information are not guarantees of future performance and readers should not place undue importance on such
statements as actual events and results may differ materially from those described herein. The Company does not undertake to
update any forward-looking statements or information except as may be required by applicable securities laws. The Company's
Canadian public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including
any technical reports filed with respect to the Company's mineral properties.