Romios Receives Third $250,000 Option Payment and Appoints a Director on Crystal Lake's Board
Toronto, Ontario--(Newsfile Corp. - July 8, 2019) - Romios Gold Resources Inc. (TSXV: RG) (OTC Pink: RMIOF) (FSE: D4R) ("Romios" or the "Company") today announced that Crystal Lake Mining Corp. ("CLM") has made the third $250,000 option payment under the agreement (the "Definitive Agreement") whereby Romios' Newmont Lake Property ("Newmont Lake") has been optioned to CLM. Under the terms of the Definitive Agreement, Romios has appointed Lawrence Roulston as its nominee on CLM's Board of Directors.
Over the next three years, CLM can earn a 100% working interest in Newmont Lake in consideration for, among other things, issuing to Romios 12 million common shares of CLM, 4 million of which have been received, and paying a further $1 million ($1 million has been received to date) upon CLM earning its 100% interest in Newmont Lake through the expenditure of $8 million on Newmont Lake over a 3-year period. CLM is required to spend $3 million on Newmont Lake by September 20, 2019. Romios retains a 2% Net Smelter Returns Royalty ("2% NSR") on Newmont Lake, or on any after-acquired claims within a 5 km radius of the current boundaries of Newmont Lake. The 2% NSR may be reduced at any time to a 1% NSR on the payment of $2 million per 0.5% NSR.
If CLM is successful in acquiring Newmont Lake, and in the event an NI-43-101compliant resource estimate is issued in respect of any part of Newmont Lake which exceeds 1 million ounces of gold equivalent resources, Romios will be issued an additional 2 million common shares of CLM. It will also receive an additional 1 million common shares of CLM for each additional1 million ounces of gold equivalent resource on any part of Newmont Lake.
In addition to Newmont Lake, Romios holds approximately 390 sq km in the Golden Triangle area in BC, near the Galore Creek project held by Newmont and Teck Resources. The Company is planning exploration and drilling in the area this summer. Romios has also been conducting exploration and drilling on the Lundmark-Akow Lake Cu-Au-Ag project in northwestern Ontario over the past two months.
About Romios Gold Resources Inc.
Romios Gold Resources Inc., a progressive Canadian mineral exploration company established in 1995, is engaged in precious and base metal exploration primarily focused on gold, silver and copper on its properties in the Golden Triangle area, northwestern British Columbia. In addition to the properties in the Golden Triangle area, Romios holds a 100% interest in the Lundmark-Akow Lake property in Ontario, the La Corne Property in Quebec and the Scossa Property in Nevada. It also holds a 2% Net Smelter Return Royalty on the Hislop property in Ontario.
This News Release contains forward-looking statements which are typically preceded by, followed by or including the words "believes", "expects", "anticipates", "estimates", "intends", "plans" or similar expressions. Forward-looking statements are not guarantees of future performance as they involve risks, uncertainties and assumptions. We do not intend and do not assume any obligation to update these forward-looking statements and shareholders are cautioned not to put undue reliance on such statements.
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.
For further information, please contact:
Tom Drivas, President and Director, (tel) 416-221-4124, (fax) 416-218-9772 or (email) romios@romios.com.
Frank van de Water, Chief Financial Officer and Director, (tel) 416-221-4124 or (email) fvandewater@rogers.com.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/46127