Skeena acquires GJ copper-gold project
Image of workers at GJ property from Skeena Resources.
Skeena Resources Limited (TSX.V: SKE) ("Skeena" or the "Company") is pleased to announce that it has completed its previously announced acquisition of a 100% interest in the GJ property (the "GJ Property") from majority owner Teck Resources Limited (TSX: TCK) ("Teck") and its 49% joint venture partner, NGEx Resources Inc. (TSX: NGQ) ("NGEx"). The GJ Property is comprised of 80 mineral claims totaling 37,508 hectares and is located adjacent to the eastern boundary of Skeena's Spectrum Project in the Golden Triangle of northwest British Columbia.
Under the terms of a Purchase Agreement dated October 5, 2015, Skeena acquired 100% of the GJ Property, in consideration for:
$500,000 in cash and an aggregate of 12,947,538 Skeena common shares, with a value of $1,000,000 based on a 10- day weighted average price of $0.0772 per share as of closing;$1.5 million worth of Skeena shares to be issued on or before the 2nd anniversary of the closing;$1.5 million worth of Skeena shares to be issued on or before the 5th anniversary of the closing;and $4.0 million cash payment on or before the date that is 45 days from commencement of commercial production from the GJ Property.The main GJ Property claim block is subject to a 2% net smelter return royalty ("NSR") in favour of Teck and NGEx, of which 50% can be purchased for a $2 million cash payment. The northern GJ Property is subject to a 1% NSR of which 50% can be purchased for a $1 million cash payment. The GJ Property is also subject to a 1% NSR payable pursuant to a royalty agreement dated January 21, 2005, as amended, originally entered into between Canadian Gold Hunter Corp. and 650399 B.C. Ltd.The technical information in this news release has been reviewed and approved by Michael S. Cathro, MSc, PGeo, Skeena's vice-president of operations and a qualified person as defined by National Instrument 43-101.
About SkeenaSkeena Resources Limited is a junior Canadian mining exploration company involved in the acquisition, exploration and development of prospective base and precious metal properties throughout British Columbia. The Company's primary activities at present are the evaluation of the high-grade Spectrum Gold property in the prolific Golden Triangle of northwestern BC. Skeena's management includes a highly experienced team of mine-finders, including Ron Netolitzky, Chairman, who was inducted into the Canadian Mining Hall of Fame in 2015.
ON BEHALF OF THE BOARD OF DIRECTORS OFSKEENA RESOURCES LIMITED
Walt Coles Jr., President & CEO