Sable Signs Option Agreement on Property Adjacent to Scorpius
Sable Signs Option Agreement on Property
Adjacent to Scorpius
TORONTO
,
July 24, 2019
/CNW/ - Sable Resources (TSX.V: SAE) (the "Company" or "Sable") is
pleased to announce the signing of an option agreement (the "Agreement") with
Teck Peru S
.A
(Teck), a 100% subsidiary of Teck Resources Limited, to acquire 100% interest in the Kirio
Property. Kirio is contiguous to Sable's Scorpius Project located in the Miocene Gold Belt of
Central
Peru
.
Terms
Subject to the Exchange's approval, Sable has an option to acquire 100% interest in the Property
(the "
Option
"), subject to a Back-In Right and NSR Royalty, by incurring
US$2,000,000
in
expenditures over five years, including a minimum of 4,000 metres of drilling, and issuing 625,000
common shares to Teck upon the Exchange's approval of the Agreement and
C$600,000
in common
shares on exercise of the Option.
Teck retains a back-in right (the "Back-in Right") to earn back to a 65% interest in the Property by
incurring 2.5 times Sable's expenditures, not to exceed
US$5,000,000
, over four years and by
making a cash payment to Sable of
US$500,000
. Teck can elect to pursue the Back-In Right by
delivering notice within 90-days following receipt of Sable's Option Notice. If the Back-in Right is not
exercised, Teck will retain a 2.0% net smelters return royalty on the Property (the "
NSR Royalty
").
Upon Teck exercising the Back-In Right, a Joint Venture shall be formed. whereby each party shall
fund its pro-rata share of future expenditures or incur dilution. The party with the majority interest
shall be the operator of the Joint Venture and all decisions concerning the operation of the Joint
Venture shall be subject to simple majority approval.
"The addition of the Kirio Property adds a package of highly prospective ground directly on trend
from our defined target at Scorpius," stated
Terry Harbort
VP of Corporate Development for Sable.
"Our exploration team will be aggressively exploring this adjacent ground in anticipation of the receipt
of the drill permit for Scorpius."
ABOUT THE SCORPIUS PROJECT
Acquired as part of Sables Upper Level Epithermal Strategy, the Scorpius High-Sulphidation Project
is located in the prolific Miocene Gold Belt of
Central Peru
. Historic values at the Scorpius Project
range between 0.1 and 7.7g/t Au and define a 1km by 0.5km anomalous area coincident with
volcanic domes, silica ledges, quartz-alunite alteration and high-sulphidation pathfinder. Sable has
the rights to acquire 100% of the Scorpius Project for total payments of
$1 million dollars
over three
years.
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. Sables' main focus is developing their large portfolio of new greenfield projects to
resource stage utilizing their Upper Level Epithermal Strategy. Sable is actively exploring the San
Juan Regional Program (48,000ha) incorporating the Don Julio Project in San Juan Province,
Argentina
, the Mexico Regional Program (1.26 Mha), incorporating the Margarita, Vinata and El
Escarpe drill ready projects and the Scorpius drill ready project in
Peru
.
We seek safe harbor
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
SOURCE
Sable Resources Ltd.
View original content:
http://www.newswire.ca/en/releases/archive/July2019/24/c0127.html
%SEDAR: 00008665E
For further information:
Tom Obradovich, President & CEO, [email protected], Tel (416)
985-7140 or visit sableresources.com
CO: Sable Resources Ltd.
CNW 08:00e 24-JUL-19