EDMONTON, ALBERTA – Green River Gold Corp. (“Green River” or the “Company”) is pleased to announce it has entered into an Option Agreement with Surge Battery Metals Inc. (“Surge”) (TSXV: NILI, OTC: NILIF, FRA: DJ5C) whereby Green River granted to Surge the right and option, subject to the terms of the Option Agreement, to acquire (the “Option”) an undivided 80% interest in a contiguous block of 8 mineral claims comprising 2,219.34 hectares (the “Property”). The optioned mineral claims represent less than 25% of Green River’s 8,937.94 hectare Fontaine project which it acquired in 2019.
The Fontaine Project is located 45 km east of the city of Quesnel in central interior British Columbia. The project is accessible year-round by Provincial Highway 26 and various well-maintained forestry roads. The project borders Osisko’s Cariboo Gold Project, with indicated resources of 3.2 Moz Au (21.4 million tonnes grading 4.64 g/t Au) and inferred resources of 2.72 Moz of Gold (21.7 million tonnes grading 3.91 g/t Au).
Terms of the Option Agreement
The Option shall vest upon all the requirements set out below being satisfied. To exercise the Option, Surge must issue common shares (“Shares”) to Green River, in the aggregate sums shown in the following table:
|Date||Shares to be Issued|
|Upon signing the Option Agreement||500,000|
|1st Anniversary date of the effective date||150,000|
|2nd Anniversary date of the effective date||200,000|
|3rd Anniversary date of the effective date||250,000|
|4th Anniversary date of the effective date||300,000|
In addition to the issuance of Shares as described, Surge must incur no less than $800,000 in mining work expenditures on the Property by the end of the 4th Anniversary date of the effective date of the Option Agreement. Upon Surge exercising its option to acquire an undivided 80% interest in the Property by performance of all of the requirements set forth above, a joint venture shall be formed between Green River and Surge to contribute their share of future development and production costs. In the event that Green River does not choose to contribute their share of future costs, then its 20% interest in the Property would convert to a 2% Net Smelter Royalty.
Green River acquired the Fontaine Project with a focus on its gold potential, however, the Company was also aware of the potential for other minerals as highlighted in the following BC MINFILES:
- 093A 013 – Sovereign Creek – developed prospect containing talc and magnesite, and coincident showing containing nickel sulfides.
- 093A 130 – Sovereign – showings containing talc and nickel sulfides.
- 093A 139 – Fontaine Creek – showing containing asbestos.
- 093H 061 – R.T. – showing containing nickel, chromium and cobalt.
The four BC MINFILE occurrences are based on exploration work documented in 16 BC ARIS and 12 BC Property File reports, as well as various government agency reports and maps.
Perry Little, Green River’s President and CEO, comments; “We are pleased to see that we were not alone in recognizing the potential for other minerals at the Fontaine Project. We look forward to seeing the results of Surge’s exploration and wish them great success.”
Kyle Townsend, Green River’s Mine Manager, comments; “Our target remains precious metals. We are pleased to have been approached by and to have reached an agreement with Surge Battery Metals Inc. who has the technical expertise and background to target the possible nickel alloy mineralization on the property.”
The technical data in this new release has been reviewed and approved by Stephen Kocsis, P.Geo., a qualified person for the purpose of National Instrument 43-101 – Standards of Disclosure for Mineral Projects.
About Green River Gold Corp.
Green River Gold Corp. acquires and develops placer mining claims and mineral claims. The Company controls a 100% interest in the flagship Fontaine Gold Project. The 8,900-hectare Fontaine Gold Project is situated 12 kilometers southwest of Barkerville. The property includes both placer and hard-rock tenures. The properties straddle an 18 km length of the Barkerville and Quesnel Terranes and are contiguous to Osisko Development Corp.’s proposed mine at its Cariboo Gold Project. A portion of the Fontaine Gold Project mineral claims have been optioned to Surge Battery Metals Inc.
The Company also controls a 100% interest in the 1,214.32-hectare Kymar Silver Project, located 28 kilometers West of Invermere, British Columbia.
The Company also controls a 100% interest in placer mining projects on the Little Swift River, Sovereign Creek, Willow River, and Swift River. The Company rents placer claims to placer gold miners for cash rent, in lieu of a royalty.
Green River Gold Corp. also distributes equipment and supplies for the placer mining industry and is a Limited Partner in the Green River Gold Trading Limited Partnership which purchases raw placer gold from miners. Those operations, and the mining operations are based out of a 6,000 square foot office, retail and manufacturing facility in the heart of the Cariboo Mining District in Quesnel, British Columbia.