Sable and South32 Finalize Earn-in Agreement to Jointly Explore the Don Julio Project in San Juan, Argentina and Sable Provides Summary of Underlying Option Agreement
Sable and South32 Finalize Earn-in Agreement
to Jointly Explore the Don Julio Project in San
Juan, Argentina and Sable Provides Summary
of Underlying Option Agreement
VANCOUVER, BC
,
March 11, 2021
/CNW/ - Sable Resources Ltd. ("Sable" or the "Company")
(TSXV: SAE) (OTCQB: SBLRF) is pleased to announce that further to the Company's press release
dated
January 28, 2021
, the Company has received TSX Venture Exchange ("TSXV") approval for
the Earn-In Agreement (the "EIA") between the Company and its wholly-owned subsidiary,
Olivares
S.A.
("Olivares") and a wholly-owned subsidiary of South32 Limited ("South32"), to jointly explore
the Don Julio Project located in San Juan Province,
Argentina
(the "Project"). As such the Company
has finalized the EIA. In connection with the satisfaction of the conditions precedent set out in the
EIA, the Company and Olivares have signed an Acknowledgement and Consent Agreement with
South32 and the underlying owners of the Project pursuant to which such underlying owners agree to
the grant of the options to South32 and additionally, an Acknowledgement and Consent Agreement
has been signed between Sable, Olivares, South32 and Osisko Gold Royalties Ltd.
Ruben Padilla
, Sable's President and CEO stated, "We are very pleased to have finalized the Earn-
In Agreement with South32. Work at Don Julio has commenced including construction of additional
new road access, initiation of the 1,100 km Aeromagnetic survey, and the first-pass recognizing
work of Aster anomalies located outside the main
Don Julio Cluster
."
The Project comprises a 58,000-hectare land package containing several Cu-Au porphyry, Ag-Au
epithermal, and polymetallic skarn targets, which were generated from detailed mapping and
geochemistry work over the past two and a half years. Sable has assigned its option to acquire a
100% interest in the Project from the Project's underlying owners to Olivares as part of the
transaction with South32.
Sable's option to acquire a 100% interest in the Project was first signed on
December 6, 2017
with
certain consideration terms being amended in three separate amendment agreements dated
May
27, 2019
,
July 5, 2019
and
June 1, 2020
(together the "Option Agreement"). To earn a 100%
interest in the Project, the Option Agreement provides for cash considerations aggregating
US$4,000,000
(
US$160,000
has been paid to date) and share considerations aggregating
3,500,000 common shares (400,000 of which have been issued to date) of Sable, as well as
US$4,000,000
in exploration work (Sable has exceeded this commitment), over the option period
ending
December 2026
. As long as the EIA is in effect, South32 is responsible for the cash
consideration payments under the Option Agreement.
The Project is subject to a 4% net smelter royalty, 2% of which is held by Osisko Gold Royalties Ltd
and 2% of which is held by the underlying owners of the Project, the latter of which may be
purchased by the Company.
ABOUT SABLE RESOURCES LTD.
Sable is a well-funded junior grassroots explorer focused on the discovery of new precious metal
projects through systematic exploration in endowed terranes located in favorable, established mining
jurisdictions. Sable's main focus is developing its large portfolio of new greenfields projects to
resource stage utilizing its Upper Level Epithermal Strategy. Sable is actively exploring the San Juan
Regional Program (109,055 ha) incorporating the Don Julio and El Fierro Projects in San Juan
Province,
Argentina
; and the Mexico Regional Program (1.16Mha in application, 39,000ha titled)
incorporating the Vinata and El Escarpe projects.
ABOUT SOUTH32
South32 is a globally diversified mining and metals company. Our purpose is to make a difference
by developing natural resources, improving people's lives now and for generations to come. We are
trusted by our owners and partners to realize the potential of their resources. We produce bauxite,
alumina, aluminium, energy and metallurgical coal, manganese, nickel, silver, lead and zinc at our
operations in
Australia
,
Southern Africa
and
South America
. With a focus on growing our base
metals exposure, we also have two development options in
North America
and several partnerships
with junior explorers around the world.
Related link:
sableresources.com
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.
CAUTION REGARDING FORWARD LOOKING STATEMENTS
Certain statements contained in this press release constitute forward-looking information. These
statements relate to future events or future performance. The use of any of the words "could",
"intend", "expect", "believe", "will", "projected", "estimated" and similar expressions and statements
relating to matters that are not historical facts are intended to identify forward-looking information
and are based on Sable's current belief or assumptions as to the outcome and timing of such future
events. Actual future results may differ materially. Although such statements are based on
reasonable assumptions of Sable's management, there can be no assurance that any conclusions or
forecasts will prove to be accurate.
While Sable considers these assumptions to be reasonable based on information currently available,
they may prove to be incorrect. Forward looking information involves known and unknown risks,
uncertainties and other factors which may cause the actual results, performance or achievements to
be materially different from any future results, performance or achievements expressed or implied by
the forward-looking information. Such factors include risks inherent in the exploration and
development of mineral deposits, including risks relating to changes in project parameters as plans
continue to be redefined, risks relating to variations in grade or recovery rates, risks relating to
changes in mineral prices and the worldwide demand for and supply of minerals, risks related to
increased competition and current global financial conditions and the COVID-19 pandemic, access
and supply risks, reliance on key personnel, operational risks, and regulatory risks, including risks
relating to the acquisition of the necessary licenses and permits, financing, capitalization and liquidity
risks.
The forward-looking information contained in this release is made as of the date hereof, and Sable is
not obligated to update or revise any forward-looking information, whether as a result of new
information, future events or otherwise, except as required by applicable securities laws. Because of
the risks, uncertainties and assumptions contained herein, investors should not place undue reliance
on forward-looking information. The foregoing statements expressly qualify any forward-looking
information contained herein.
SOURCE
Sable Resources Ltd.
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%SEDAR: 00008665E
For further information:
Ruben Padilla, President & CEO at [email protected] or
+1 (520) 488-2520
CO: Sable Resources Ltd.
CNW 07:00e 11-MAR-21