- Riverside Resources Inc. (RRI) has announced an exploration earn-in agreement with Minera Hochschild Mexico, S.A. de C.V, owned by Hochschild Mining PLC
- The agreement is for Riverside’s La Union Gold-Silver Project in Sonora, Mexico
- This new agreement enables the project to immediately move ahead with a robust exploration program and reflects the belief in the viability of the project
- Upon Hochschild completing the Phase II earn-in option, Riverside will have the option to sell its interest in the project to Hochschild for US$20,000,000
- Riverside is a well-funded exploration company driven by value generation and discovery
- Riverside Resources Inc. opened trading at $0.15 per share
Riverside Resources (RRI) has announced an exploration earn-in agreement with Minera Hochschild Mexico, S.A. de C.V., a subsidiary of Hochschild Mining PLC.
The agreement is for Riverside’s 100-per-cent-owned La Union Gold-Silver Project in Sonora, Mexico.
The agreement enables the project to move ahead with an exploration program and reflects the belief, by both parties, of the potential for rapid discovery of new gold-silver and base metal disseminated deposits on the 26 km2 Project.
In the Phase I earn-in option, Hochschild can earn an undivided 51 per cent by incurring US$8,000,000 in exploration expenditures over five years.
Upon completion of Phase I obligations, Hochschild can elect to form a 51:49 joint venture.
For the Phase II earn-in option, Hochschild can elect to earn an additional 24 per cent by incurring a further $3,000,000 in exploration expenditures and delivering a completed Feasibility Study (FS) over three years.
Upon Hochschild completing the Phase II earn-in option, Riverside will have the option to sell its interest in the project to Hochschild for US$20,000,000, while retaining a 1 per cent net smelter royalty (NSR).
“We are delighted to partner again with Hochschild Mining as we have had a productive and positive relationship working together on several past projects, ” said Riverside’s President and CEO, John-Mark Staude.
“Riverside has invested in working up the project to an actionable stage and consolidated the tenures making this a highly prospective property that warrants the type of exploration spending that this agreement provides,” he added.
La Union Project is located in western Sonora approximately 70 km southwest of the town of Caborca in the southern portion of the carbonate stratigraphic mountains of the Sierra El Viejo.
Riverside is an exploration company driven by value generation and discovery.
Riverside Resources Inc. opened trading at $0.15 per share.