Millrock Resources enters into exploration agreement
Millrock Resources Inc. (TSX-V: MRO, OTCQB: MLRKF) has announced that it has executed an Option to Joint Venture Agreement concerning the 64North gold project located in the Goodpaster Gold District in east-cen- tral Alaska. This announcement follows on from an Oct. 17, 2019, news release which contemplated an agreement concerning the Goodpaster project with Australian Stock Exchange-listed Northern Cobalt Limited. During the recently completed due diligence peri- od, Northern Cobalt changed its name to Resolution Minerals Ltd. (“Resolu - tion” ASX: RML), and the project was renamed 64North. Millrock President & CEO comment - ed: “Millrock is very pleased to enter this agreement and we have enjoyed the first 60 days of collaboration with Resolution. The Aurora target is a com-
pelling prospect and is now ready for immediate drilling. The target is lo- cated just west of the Pogo Gold Mine, where mine owners Northern Star Re- sources have announced a new gold deposit discovery a short distance from the shared claim boundary. Millrock and Resolution share the view that the Goodpaster Gold District has the poten- tial to become one of the world’s great gold mining camps. We aim to discover another ore body like Northern Star’s Pogo Gold Mine which has produced more than 4 million ounces of gold and is reported by Northern Star to have re- maining resources and reserves of ap- proximately 6 million ounces.” Key highlights of the agreement: n Sole Funding Period: $20 million exploration expenditures, cash pay - ments, and share payments over four years to earn 60%. n Right to Earn up to 80% on One
Block: The project is subdivided into nine blocks of ground. If Resolution completes a 60% earn-in, a joint ven - ture will be formed over the entire proj- ect. At that point Resolution can then elect to form a specific joint venture on one block of interest, and Resolution could then earn up to 80% ownership on that one block. n Joint Venture (JV) co-funded pe - riod: Once a JV is formed, both parties are required to fund according to their percentage interest. A party may vol- untarily elect to dilute using a standard industry formula using a 2X weight - ing on new funding. A penalty dilution of 3X will be imposed on a defaulting party in certain circumstances. Man- agement is by committee with voting according to percentage interest. The party with the largest interest will hold the right to be the Manager, in line with standard industry conditions.
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The Alaska Miner
Winter 2021
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