Nicola Mining Inc. Enters into Strategic Mining and Milling Profit Share Agreement
Nicola Mining Inc. Enters into Strategic Mining
and Milling Profit Share Agreement
Vancouver, British Columbia--(Newsfile Corp. - September 17, 2020) - Nicola Mining Inc. (
TSXV: NIM
)
(
FSE: HLI
), (the "
Company
" or "
Nicola
") is pleased to announce that it has entered into a Strategic
Mining and Milling Profit Share Agreement (the "
Strategic Agreement
") with High Range Exploration
Ltd. ("
High Range
" or the "
Miner
").
On February 25, 2015, the Company announced that it had entered
into an original profit share agreement with High Range, the latter which subsequently underwent a
corporate restructuring.
The Strategic Agreement has terms identical to the original agreement signed
between the two parties, which was the Company's first profit share agreement.
Under the Agreement, High Range plans to extract mill feed from its wholly-owned Dominion Creek
Property, which is located 43 kilometers northeast of the Town of Wells and about 110 kilometers east-
southeast of Prince George, and then plans to ship this mill feed to Nicola for
processing. During the
past three months the Company and High Range have worked closely together with the intention of
bringing the project towards a 10,000 tonne bulk sample permit, which the Miner plans to ship to the
Company's mill for processing.
Prior to shipping material from Dominion Creek Property to the mill, the
groups will initially conduct a test analysis on the Miner's high-grade gold stockpile.
According to the Agreement, mill feed will be stored and tested on site to confirm grades
greater than 0.5 oz/tonne Au equivalent (15.552 grams/tonne Au equivalent).
Once a sufficient stockpile has been achieved the material will be transported to the Company's mill.
Nicola will be responsible for negotiating the sale of concentrate to a smelter or third-party purchaser.
Under the Agreement, the Miner will be responsible for all costs associated with extraction and
transportation to Nicola's processing facility, which is located near Merritt, B.C., while Nicola will be
responsible for all costs associated with milling operations. Upon repayment of costs, according to
terms of the Agreement, the parties will equally distribute the remaining proceeds from the sales of
concentrates.
Peter Espig, Chief Executive Officer, commented, "We are very excited to work closely with High Range
again.
We believe High Range to be a well-run company that owns 100% of a very intriguing property
with high-grade gold potential"
Qualified Person
Kevin Wells, P.Geo, a consulting geologist to the Company, is the independent qualified person as
defined by National Instrument 43-101 -
Standards of Disclosure for Mineral Projects
for the technical
disclosure contained in this news release.
About Nicola Mining
Nicola Mining Inc. is a junior mining company listed on the TSX Venture and Frankfurt Exchanges that
maintains a 100% owned mill and tailings facility, located near Merritt, British Columbia. The fully-
permitted mill can process both gold and silver mill feed via gravity and flotation processes. The
Company also owns 100% of the New Craigmont Project, a high-grade copper property, and an active
gravel pit that is located adjacent to its milling operations.
On behalf of the Board of Directors
"
Peter Espig
"
Peter Espig
CEO & Director
For additional information
Contact:
Peter Espig
Phone: (778) 385-1213
Email:
Neither the 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.
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/64003