- Decade Resources (DEC) has signed an option agreement with Teuton Resources to acquire up to a 75 per cent interest in the Lord Nelson property
- The company may acquire an initial 55 per cent interest via staged payments and share issuances over a five year period
- A further 20 per cent may be acquired by placing the property into production
- Teuton Resources will retain a two per cent net smelter return royalty of the property
- Decade Resources (DEC) is currently up 6.25 per cent and is trading at C$0.085 per share at 11:14am EDT
Decade Resources (DEC) has signed an option agreement with Teuton Resources to acquire up to 75 per cent of the Lord Nelson property.
Located adjacent to Decade’s Del Norte Project, which is also held under an option agreement with Teuton, the property lies 34 kilometres east of Stewart, British Columbia, and consists of six separate claims over 2,630 hectares.
Under the terms of the agreement, Decade may acquire an initial 55 per cent interest by paying a total of C$100,000 in cash to Teuton, with an initial payment of $10,000, and issuing 400,000 shares upon signing.
Decade will also issue $40,000 worth of its shares to Teuton over a four year period and assume property-related expenses totalling $2 million over a period of five years.
A further 20 per cent may be acquired by entering the Lord Nelson property into production.
Teuton will retain a two per cent net smelter return royalty on the project.
Ed Kruchkowski, President of Decade Resources, noted that the Lord Nelson tenures sit along strike within a region currently being tested by the company in Nelson Creek.
“Also, helicopter flights to the area of the Del Norte drilling pass directly over the newly optioned tenures.
“The new showing area which is at low elevations allows the company to have a longer exploration period in this region,” he said.
Geophysical surveys previously carried out by Teuton identified electromagnetic anomalies that extend north from the Del Norte project into the Lord Nelson Tenures. This includes one anomaly thought to be associated with the LG vein, which is a high-grade gold occurrence with at least 1.2 kilometres in strike length.
Decade Resources (DEC) is currently up 6.25 per cent and is trading at 8.5 cents per share at 11:14am EDT.