- West Vault (WVM) has signed a long-term Water Rights Lease agreement to lease water rights from a nearby mining company.
- The company signed the 28-year term agreement on January 10, 2023
- During the 28-year term, West Vault may divert and use up to 614 acre-feet of water annually
- West Vault is a Canada-based exploration and development company
- West Vault Mining Inc. (WVM) is up 2.15 per cent, trading at C$0.95 per share at 1:39 pm ET
West Vault (WVM) has signed a long-term Water Right Lease agreement to lease water rights from a nearby mining company.
This gives West Vault the right to extract and utilize sufficient groundwater to support all planned operations at its Hasbrouck Gold Project near Tonopah, Nevada.
The company signed the 28-year term agreement on January 10, 2023. It made an initial one-time payment of US$68,000 and an annual fee of US$12,000. During the 28-year term, West Vault may divert and use up to 614 acre-feet of water annually.
West Vault will pay the annual fee as well as the cost of maintaining the water right and appropriating the water up to a maximum cost of US$18,000 annually. No other usage fees will be applied.
Sandy McVey, CEO of West Vault, commented on the news.
“Water is critical to any mining project in dry areas, especially in Nevada where there is an increasing demand for a decreasing supply. The Water Right provides further assurance that the Hasbrouck Gold Project has the necessary water for the full life of mine. The 28-year life of this Water Right provides great optionality for choosing the best time to construct the Hasbrouck Project. The Water Right is in addition to a similar water right lease agreement we already have, which is set to expire in 2027.”
West Vault is a Canada-based exploration and development company. The company owns 100 per cent of the construction-ready Hasbrouck Gold Project. It is a heap-leach gold-silver project with robust economics located in Nevada.
West Vault Mining Inc. (WVM) is up 2.15 per cent, trading at C$0.95 per share at 1:39 pm ET.