Searchlight Resources earn s 51 % interest in Bootleg Lake Option
TSXV : SRCH
Suite 408 – 1199 West Pender Street • Vancouver, B.C. • V6E 2R1
TEL (604) 331 - 9326 • FAX (604) 684 - 9365
Searchlight Resources earn s 51 % interest in
Bootleg Lake Option
Searchlight to complete 51% earn - in of Bootleg Lake Project
ahead of sc hedule
Option A greement amend ed to allow accelerated earn - in
Option Agreement amended to share only payment for 51% earn - in
Vancouver, British Columbia, October 1 6 , 201 8 - Searc hlight Resources Inc.(“Searchlight” or
the “Company”) (TSX - V: SRCH ) is pleased to announce that it has entered into an amendment
agreement to complete the payments and work commitments to earn a 51% interest in the
Bootleg Lake project , located near Creighton, Saskatchewan, five kilometres southwest of the
city of Flin Flon, Manitoba. Under the amendment agreement , S earchlight has accelerate d the
51% earn in with an all stock payment.
To date , Search light had completed th e initial payments and the first p hase of the 51% earn in ,
plus the $ 250,000 required exploration expenditure , described below as sections 1 ), 2) , 3a) and
3c . Section 3b) originally a payment of $50,000 and 166,667 shares due June 30 th , 2019 has
been replaced with a share payment of 1,425,000 shares which will be paid within 5 days of
T SXV a pp r ova l . This completes the necessary requirements for Searchlight to earn 51% .
Stephen Wallace , President and CEO of Searchlight stated , “ this a mendment gives Searchlight
control of the Bootleg Lake p roject almost a year early and secure s value for shareholders for
the exploration investment made in the property. Further it allows the company to share
explorati on exp end itures from core claims to claims staked in the past yea r. ”
The amendment agreement is subject to acceptance of the TSXV.
Original Option Agreement Terms A nnounced May 11 , 2017
Under the original t erms of the Option Agreement, Searchlight has the option to acquire up to a
75% interest in Bootleg Lake project by making the following cash payments, share issuances
and exploration expenditure s shown below.
1) Cash payment of $5,000 upon signing of agreement
2) Cash payment of $5,000 and issuing 250,000 shares within 5 days of the date of TSX
Venture Exchange (the "TSXV") acceptance.
3) Searchlight will earn a 51% upon completing the following
a) Cash payment of $ 40,000 and issuing 250,000 shares before June 30 th, 2018;
b) Cash payment of $50,000 and issuing 500,000 shares before June 30 th, 2019;
c) Incurring initial exploration expenditures of $100,000 before December 31, 2018, and
incurring further exploration expend itures of $150,000 before December 31, 2019, for a
cumulative total of $250,000 of exploration expenditures.
4) Searchlight will earn a 75% upon completing the following
a) Cash payment of $50,000 and issuing 500,000 shares before June 30 th, 2020;
b) Cash payment of $100,000 and issuing 500,000 shares before June 30 th, 2021;
c) Incurring additional exploration expenditures of $200,000 before December 31, 2020,
and incurring further exploration expenditures of $300,000 before December 31, 2021,
for a cumulative total of $750,000 of exploration expenditures.
Searchlight can at its option accelerate the cash payments and common shares issuances
described above. Any excess exploration expenditures incurred on the Property within an earn -
in time period will be credited to success ive earn - in time periods. All common share issuances
by Searchlight will be subject to a 4 - month hold period as per Canadian securities law.
Under the terms of the Option Agreement, Searchlight will pay a 1.0 % Net Smelter Return
royalty (the "NSR") to New Moon Min erals Corp. on commencement of commercial production.
Searchlight will have the right, at any time, to purchase 0.5 % of the 1.0% NSR for $500,000.
There is an existing 1% NSR in favour of the underlying vendor.
Note S earchlight consolidated its issued and outstanding common shares at a ratio of three (3)
pre - consolidated common shares to one (1) post - consolidation common share on August 16 th ,
2017 . This reduces the number of shares in sections 2), 3) and 4) to 1/3 the original number.
About Searchlight Resources Inc.
S earchlight Resources Inc. (“Searchlight” or the “Company”) is a mineral exploration and
development company listed on the TSX Venture Exchange (TSXV). The company is active
with mineral exploration projects in Saskatchewan, Ontario and Nevada , three of the top seven
jurisdictions in the world for mining investment as ranked by the Fraser Institute. The Company
holds a portfolio of gold, cobalt and base metal projects from grassroots stage to advanced
exploration and NI 43 - 101 resource developme nt.
Saskatchewan – Gold and Base Metals
The Bootleg Lake project is 16,900 hectares of claims in Saskatchewan covering prospective
areas of the Flin Flon Greenstone belt. Exploration is being carried out at the past producing
Newcor, Rio (Bootleg) and He nning Maloney Gold mines located approximately 5 kilometres
from Creighton Saskatchewan and less than 10 kilometres from the Hudbay 777 mine located in
Flin Flon, Manitoba.
In addition, the Bootleg Lake claims hold Volcanogenic Massive Sulphide (VMS) bas e metal
potential with claims adjacent to the Hudbay Mines claims hosting the producing 777 base metal
and gold mine in Flin Flon and the four past producing base metal mines, Flexar, Birch Lake,
Amisk and Coronation.
Ontario – Copper, Cobalt, Nickel & Go ld
1) The Munro Warden project is an early stage exploration prospect targeting VMS copper,
nickel and cobalt within the Kidd - Munro assemblage of the Abitibi Greenstone Belt. The
project covers 1,100 hectares including 9 mining lease and 11 claims blocks loc ated
approximately 90 kilometres east of Timmins, Ontario.
2) The Cameron project is a grassroots cobalt, gold exploration prospect located 25
kilometres southwest of Cobalt, Ontario with the highly prospective Cobalt Embayment
Nevada - Copper
Searchlight’s Nevada project New Yo r k Canyon hosts two c opper deposits in the Walker Lane
Structural Belt located in western Nevada. The Long Shot Ridge skarn deposit with a 2010
NI43 - 101 resource estimate and the Copper Queen porphyry deposit drilled out by Conco in th e
1970’s.
On behalf of the Board of Directors,
“ Stephen Wallace ”
SEARCHLIGHT RESOURCES INC .
Stephen Wallace , President, CEO and Director
Contact: Searchlight Resources Inc .
Investor Relations
(604) 331 - 9326
info@ searchlightresources .com
Forward - Looking Statements
Information set forth in this news release contains forward - looking statements that are based on
assumptions as of the date of this news release. These statements reflect management’s
current estimates, beliefs, i ntentions and expectations. They are not guarantees of future
performance. The Company cautions that all forward looking statements are inherently
uncertain and that actual performance may be affected by a number of material factors, many of
which are beyo nd the Company’s control. Such factors include, among other things: risks and
uncertainties relating to the Company’s limited operating history and the need to comply with
environmental and governmental regulations. Accordingly, actual and future events, c onditions
and results may differ materially from the estimates, beliefs, intentions and expectations
expressed or implied in the forward looking information. Except as required under applicable
securities legislation, the Company undertakes no obligation t o publicly update or revise
forward - looking information.
NEITHER 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 RE LEASE.