Nevada Sunrise Completes Sale of Water Rights in Clayton Valley, Nevada
Nevada Sunrise Completes Sale of Water
Rights in Clayton Valley, Nevada
VANCOUVER, BC
,
Dec. 8, 2021
/CNW/ -
Nevada Sunrise Gold Corp. ("Nevada Sunrise",
or the
"
Company
") (TSXV: NEV) (OTC: NVSGF) is pleased to announce that it has completed the sale of
its water rights in the Clayton Valley,
Nevada
(the "Transaction") through its wholly-owned
Nevada
subsidiary company Intor Resources Corporation to Cypress Development Corp. of
Vancouver, BC
,
Canada
(TSX-V: CYP) (OTCQB: CYDVF) (Frankfurt: C1Z1) ("Cypress").
The Transaction represents a major milestone for Cypress' Clayton Valley Lithium Project, near
Silver Peak,
Nevada
and provides an opportunity for Nevada Sunrise to share in future success
gained by Cypress' efforts to develop a new lithium mine in
Esmeralda County
. The total purchase
price of
US$3.0 million
included an initial cash deposit of
US$150,000
, and a final payment of
US$2.85 million
(the "Closing Payment"). The Closing Payment comprised
US$2.0 million
in cash and
the issuance of Cypress' common shares to the value of
US$850,000
.
The Permit allows for the appropriation of the public waters of the
State of Nevada
in the amount of
1,770 acre-feet of groundwater per year for mining, milling and domestic applications. This amount
represents the largest single volume of permitted water available in the Clayton Valley, which is a
fully appropriated hydrogeographic basin.
Net proceeds received by the Company from the Transaction will be used to retire legal liabilities
totaling approximately
US$500,000
incurred during the water rights litigation from 2016 to 2019 (see
Nevada Sunrise news releases dated
May 16, 2016
and
September 30, 2019
), and payment of the
balance owing to the underlying vendor of the water rights of approximately
US$800,000
(see
Nevada Sunrise news release dated
March 21
, 2016).
About Nevada Sunrise
Nevada Sunrise is a junior mineral exploration company with a strong technical team based in
Vancouver, BC
,
Canada
, that holds interests in gold, copper, cobalt and lithium exploration projects
located in the
State of Nevada, USA
.
The Company's key gold asset is a 20.01% interest in a joint venture with New Placer Dome Gold
Corp. (TSXV: NGLD) at the Kinsley Mountain Gold Project ("Kinsley Mountain") near
Wendover
where an extensive exploration program, including drilling and ground geophysics, concluded in late
November 2020
.
Kinsley Mountain
is a Carlin-style gold project hosting a National Instrument 43-101
compliant gold resource consisting of
418,000 indicated ounces of gold grading 2.63 g/t Au (4.95
million tonnes), and 117,000 inferred ounces of gold averaging 1.51 g/t Au (2.44 million
tonnes), at cut-off grades ranging from 0.2 to 2.0 g/t Au
1
.
1
Technical Report on the Kinsley Project, Elko County, Nevada, U.S.A., dated June 21, 2021 with an effective date of May 5, 2021 and prepared by Michael M. Gustin, Ph.D., and
Gary L. Simmons, MMSA and filed under New Placer Dome Gold Corp.'s Issuer Profile on SEDAR (
www.sedar.com
).
Nevada Sunrise has right to earn a 100% interest in the Coronado VMS Project, located
approximately 48 kilometers (30 miles) southeast of
Winnemucca
. The Company owns a 15%
interest in the historic Lovelock Cobalt Mine and the Treasure Box copper properties, each located
approximately 150 kilometers (100 miles) east of
Reno
, with Global Energy Metals Corp. (TSXV:
GEMC) holding an 85% participating interest.
Nevada Sunrise owns 100% interests in the Jackson Wash and Gemini lithium projects, both of
which are located in
Esmeralda County
. The Company owns Nevada water right Permit 86863,
located in the Lida Valley basin, near Lida,
Nevada
.
Qualified Person
The scientific and technical information contained in this news release has been reviewed and
approved by
Robert M. Allender, Jr.
, CPG, RG, SME and a Qualified Person for Nevada Sunrise as
defined in National Instrument 43-101 –
Standards of Disclosure
for Mineral Projects
.
FORWARD LOOKING STATEMENTS
All statements in this release, other than statements of historical fact, are "forward-looking information" with respect to Nevada Sunrise Gold Corporation ("Nevada Sunrise")
within the meaning of applicable Canadian securities laws, including statements that address the sale of the Company's water rights, and the potential for future development of
a lithium resource and mineral production by Cypress. Forward-looking information is often, but not always, identified by the use of words such as "seek", "anticipate", "plan",
"continue", "estimate", "expect", "project", "predict", "potential", "targeting", "intends", "believe", "potential", and similar expressions, or describes a "goal", or variation of such
words and phrases or state that certain actions, events or results "may", "should", "could", "would", "might" or "will" be taken, occur or be achieved. These statements involve
known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Nevada Sunrise to differ materially from those
anticipated in such forward-looking information.
Such factors include, among others, risks related to the sale of the Company's water rights, reliance on technical information provided by third parties on the Company's water
rights or on Cypress' Clayton Valley lithium project, including access to historical information on exploration, current exploration and development activities; changes in
Cypress' project parameters as its plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates;
failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labor disputes and other risks of the mining industry; delays due to
pandemic; delays in obtaining governmental approvals, financing or in the completion of the Transaction, as well as those factors discussed in the section entitled "Risk
Factors" in the Company's Management Discussion and Analysis for the Nine Months Ended June 30, 2021, which is available under Company's SEDAR profile at
www.sedar.com
.
Although Nevada Sunrise has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-
looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such
information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Nevada Sunrise disclaims any
intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not
place undue reliance on forward-looking information.
Forward-looking statements are made as of the date hereof and accordingly are subject to change after such date. Except as otherwise indicated by Nevada Sunrise, these
statements do not reflect the potential impact of any non-recurring or other special items or of any dispositions, monetizations, mergers, acquisitions, other business
combinations or other transactions that may be announced or that may occur after the date hereof. Forward-looking statements are provided for the purpose of providing
information about management's current expectations and plans and allowing investors and others to get a better understanding of our operating environment. Nevada Sunrise
does not undertake to update any forward-looking statements that are included in this document, except in accordance with applicable securities laws.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of TSX Venture Exchange) accepts responsibility for
the adequacy of accuracy of this release. The Securities of Nevada Sunrise Gold Corporation have not been registered under the United States Securities Act of
1933, as amended, and may not be offered or sold within the United States or to the account or benefit of any U.S. person.
SOURCE
Nevada Sunrise Gold Corporation
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For further information:
Warren Stanyer, President and Chief Executive Officer, Telephone: (604)
428-8028, Facsimile: (604) 684-9365, email: [email protected]
CO: Nevada Sunrise Gold Corporation
CNW 15:09e 08-DEC-21