(TheNewswire)
Vancouver, BC / TheNewswire / December 8, 2017 – Durango Resources Inc. (TSX.V-DGO), (the “Company” or “Durango”) is pleased to announce that, further to its news releases dated March 30 and April 20, 2017, Durango has sold 1,400,000 shares (each, a “Bonterra Share”) of Bonterra Resources Inc. (“Bonterra”) for an aggregate of approximately C$750,000. Pursuant to the terms of an option agreement (“Option Agreement”), between Bonterra and Durango, 1.5 million Bonterra Shares were issued to Durango as the first payment in respect to Durango’s Trove Property. Durango still holds 100,000 Bonterra Shares that were issued as part of the first payment.
Pursuant to the terms of the Option Agreement, Bonterra may earn a 100% interest in the Trove Property by making the following additional payments to Durango and undertaking the following exploration work:
-on or before the first anniversary of the closing date, pay a further C$150,000 in cash and issue an additional 1.5 million Bonterra Shares; and
-on or before the second anniversary of the closing date, pay C$200,000 in cash and complete a minimum of $1-million in exploration expenditures.
Once the option is fully-exercised, Durango will retain a 2% net smelter return royalty in respect of the Trove Property. Bonterra may purchase 50% of this royalty at any time for a cash payment of $1-million.
Marcy Kiesman, CEO of Durango, comments, “We are so delighted to have entered into this transaction with Bonterra that has resulted in Durango obtaining a cash injection of over $750,000 without shareholder dilution. The transaction positions Durango and its shareholders to participate further in Bonterra’s share price appreciation as it continues to hold free-trading shares. An additional 1.5 million Bonterra shares may be issued to Durango if certain conditions are met, pursuant to the terms of the Option Agreement. We look forward to an exciting new year ahead in 2018.”
About Durango
Durango is a natural resources company engaged in the acquisition and exploration of mineral properties. The Company has a 100% interest in the Mayner’s Fortune limestone properties in northwest British Columbia, the Decouverté and Trove gold properties in the Abitibi Region of Quebec, and certain lithium properties near the Whabouchi mine, the Buckshot graphite property near the Miller Mine in Québec, the Dianna Lake silver project in northern Saskatchewan, and the Whitney Northwest property near the Lake Shore Gold and Goldcorp joint venture in Ontario.
For further information on Durango, please refer to its SEDAR profile at www.sedar.com.
Marcy Kiesman, Chief Executive Officer
Telephone: 604.428.2900 or 604.339.2243
Facsimile: 888.266.3983
Email: durangoresourcesinc@gmail.com
Website: www.durangoresourcesinc.com
Forward-Looking Statements
This document may contain or refer to forward-looking information based on current expectations, including, but not limited to the development, commencement and completion of future exploration or project development programs, Bonterra exercising the option pursuant to the Option Agreement, the issuance and disposition of future Bonterra Shares, the appreciation in value of Bonterra Shares and the impact on the Company of these events. Forward-looking information is subject to significant risks and uncertainties, as actual results may differ materially from forecasted results. Forward-looking information is provided as of the date hereof and we assume no responsibility to update or revise them to reflect new events or circumstances. For a detailed list of risks and uncertainties relating to Durango, please refer to the Company's prospectus filed on its SEDAR profile at www.sedar.com.
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 release.
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